note: department of the treasury …the government printing office (gpo), superintendent of...

19971040AInstructions

DEPAR TMENT OF THE TREASURY—INTERNAL REVENUE SER VICE

www.irs.ustreas.gov

Cat. No. 12088U

Quick andEasy Accessto Tax Helpand Forms

COMPUTER

Check YourSocial SecurityNumbers (SSNs)!Incorrect or missing SSNsmay increase your tax orreduce your refund. Seepage 6.

Receivinga Refund?● Have it directly deposited!See the instructions forlines 31b–31d on page 33.

See Page 4!

World Wide Webwww.irs.ustreas.gov

IRIS at FedWorld703-321-8020

From your fax machine’stelephone, dial—703-368-9694

FAX

Explore IRSe-file!● The quickest way tofile—by computer or phone

● The fastest way to getrefunds

● The surest way to avoidfiling errors and errornotices

More details on page 5.

● Check its status withTeleTax! See page 40.

Note: This booklet does not contain tax forms.

Including Instructions forSchedules 1 and 2

Tax Return Page ReferencesQuestions about what to put on a line? Help is on the page number in the circle.

16

15

14

1213a

11a

Department of the Treasury—Internal Revenue ServiceForm

U.S. Individual Income Tax Return1040A 1997OMB No. 1545-0085

Your social security numberLast nameYour first name

Label

LABEL

HERE

(See page 14.)

Spouse’s social security numberLast nameIf a joint return, spouse’s first name

Use the IRS label.

Home address (number and street). If you have a P.O. box, see page 14.For Privacy Act andPaperworkReduction ActNotice, see page 42.

City, town or post office. If you have a foreign address, see page 14.

Presidential Election Campaign Fund (See page 14.) Note: Checking “Yes” willnot change your tax orreduce your refund.

NoYesDo you want $3 to go to this fund?If a joint return, does your spouse want $3 to go to this fund?

Single1

Married filing joint return (even if only one had income)2

3 Married filing separate return. Enter spouse’s social security numberabove and full name here. ©

4 Head of household (with qualifying person). (See page 15.) If the qualifying person is a child but not yourdependent, enter this child’s name here. ©

Qualifying widow(er) with dependent child (year spouse died © 19 ). (See page 16.)5

No. of boxeschecked on6a and 6b

Yourself.6a If your parent (or someone else) can claim you as a dependent on his or her tax return, do notcheck box 6a.

SpousebNo. of yourchildren on6c who:● lived withyou

(2) Dependent’s socialsecurity number

c

Dependentson 6c notentered above

Add numbersentered inboxes aboveTotal number of exemptions claimed ©d

Wages, salaries, tips, etc. Attach Form(s) W-2.7

Taxable interest income. Attach Schedule 1 if required.8a

Tax-exempt interest. DO NOT include on line 8a.b

Dividends. Attach Schedule 1 if required.9Total IRAdistributions.

10a Taxable amount(see page 19).

10b

Taxable amount(see page 19).

11bTotal pensionsand annuities.

Unemployment compensation.Taxable amount(see page 21).

Social securitybenefits.

13b

Add lines 7 through 13b (far right column). This is your total income. ©

IRA deduction (see page 21).

Subtract line 15 from line 14. This is your adjusted gross income.If under $29,290 (under $9,770 if a child did not live with you), see theEIC instructions on page 27. ©

Dependents. If more than six dependents, see page 16.

Cat. No. 11327A

%

1997 Form 1040A

IRS Use Only—Do not write or staple in this space.(99)

(1) First name Last name

Apt. no.

- -

- -

- -

7 .,8a .,

9 .,

10b .,

11b .,

.,

.,14 .,

16 .,

12

13b

.15 ,

8b .,

10a .,

11a .,

.,13a

- -

- -

- -

- -

- -

Init.

Init.

ZIP codeState

Otherwise, please print in ALL CAPITAL LETTERS.

-

(3) Dependent’srelationship

to you

(4) No. ofmonths

lived in yourhome in 1997

● did not livewith you dueto divorceor separation(see page 17)

Attach Copy B of W-2 and 1099-R here.

Dollars Cents

14

1414

15

16

16

17

18

18

19

19

19

21

21

19

21

21

19

19

14

14

16

34

15

Tax Return Page ReferencesQuestions about what to put on a line? Help is on the page number in the circle.

Enter the amount from line 16.17Enter number ofboxes checked ©

BlindYou were 65 or olderCheckif:

18a18aBlindSpouse was 65 or older

If you are married filing separately and your spouse itemizes deductions,see page 23 and check here ©

b18b

19

Subtract line 19 from line 17. If line 19 is more than line 17, enter 0.20

21 Multiply $2,650 by the total number of exemptions claimed on line 6d.Subtract line 21 from line 20. If line 21 is more than line 20, enter 0. This is your taxable income.If you want the IRS to figure your tax, see page 24. ©

22

Find the tax on the amount on line 22 (see page 24).23

Credit for child and dependent care expenses. Attach Schedule 2.24a

b Credit for the elderly or the disabled. Attach Schedule 3.

Add lines 24a, 24b, and 24c. These are your total credits.d

25 Subtract line 24d from line 23. If line 24d is more than line 23, enter 0.

26 Advance earned income credit payments from Form(s) W-2.

Add lines 25, 26, and 27. This is your total tax. ©28

Total Federal income tax withheld from Forms W-2 and 1099.29a

1997 estimated tax payments and amount applied from 1996 return.b

Earned income credit. Attach Schedule EIC if you have a qualifying child.c

Add lines 29a, 29b, and 29c. These are your total payments. ©e

If line 29e is more than line 28, subtract line 28 from line 29e. This is the amount you overpaid.30

Amount of line 30 you want applied to your 1998 estimated tax.32If line 28 is more than line 29e, subtract line 29e from line 28. This is the amount youowe. For details on how to pay, see page 34.

33

34 Estimated tax penalty (see page 34).Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to thebest of my knowledge and belief, they are true, correct, and accurately list all amounts and sources of income I received duringthe tax year. Declaration of preparer (other than the taxpayer) is based on all information of which the preparer has any knowledge.

Signhere DateYour signature

Keep a copy ofthis return foryour records.

Spouse’s signature. If joint return, BOTH must sign. Date

Date Preparer’s SSNPreparer’ssignature

Paidpreparer’suse only

Check ifself-employed

Firm’s name (or yoursif self-employed) andaddress

EIN

ZIPcode

©

$ %

Enter the standard deduction for your filing status. But see page 24 if you checkedany box on line 18a or 18b OR someone can claim you as a dependent.● Single—4,150● Head of household—6,050

● Married filing jointly or Qualifying widow(er)—6,900● Married filing separately—3,450

Your occupation

Spouse’s occupation

©

©

1997 Form 1040A page 2

Amount of line 30 you want refunded to you. If you want it directly deposited, seepage 33 and fill in 31b, 31c, and 31d.

31a

Nontaxable earned income: amount © and type ©

27 Household employment taxes. Attach Schedule H.

Routingnumber

Accountnumber

Type: Checking Savingsb

c

d

17 .,

.19 ,20 .,21 .,

22 .,23 .,

25 .,

28 .,

29e .,30 .,31a .,

33 .,

24d

.26 ,

.27 ,

.29c ,

.24a ,24b ,

29b .,

29a .,

32 .,

34 .

,

- -

-

-

,

c Adoption credit. Attach Form 8839. 24c

.,

.,

d .

24

25

25

33

33

34

23

23

24

25

25

27

26

26

33

33

33

34

34

34

29 29

.25

24

Quick and Easy Access to Tax Help and FormsPERSONAL COMPUTER

Why not use a personal computerand modem to get the forms andinformation you need?

Here is a sample of what you will findwhen you visit the IRS’s Internet Web Siteat — www.irs.ustreas.gov

● Forms and Instructions

● Publications

● Educational Materials

● IRS Press Releases and Fact Sheets

● TeleTax Topics on About 150 Tax Topics

● Answers to Frequently Asked Questions

You can also reach us using

● Telnet at iris.irs.ustreas.gov

FAX

Just call 703-368-9694 from thetelephone connected to the faxmachine to get the following:

Forms and Instructions

We can fax you over 100 of the most requested formsand instructions. (See page 36 for a partial list of theitems. )

TeleTax Topics

We can also fax you TeleTax topics covering about 150tax topics. (See page 41 for a list of the topics. )

PHONE

You can also get forms andinformation, including the status ofyour refund, by phone.

Forms and PublicationsYou can order forms, instructions, and publications byphone. Just call 1-800-TAX-FORM (1-800-829-3676)between 7:30 a.m. and 5:30 p.m. on weekdays. Thebest time to call is before 9 a.m. or after 2 p.m.Thursdays and Fridays are the best days to call. (Thehours are Pacific time in Alaska and Hawaii, Easterntime in Puerto Rico.) You should receive your order ornotification of its status within 7 to 15 workdays.

TeleTax Topics

You can listen to pre-recorded messages coveringabout 150 tax topics. (See page 40 for the number tocall and page 41 for a list of the topics. )

● Direct Dial (by modem)—You can also dialdirectly to the Internal Revenue InformationServices (IRIS) at 703-321-8020. IRIS is anon-line information service on FedWorld.

● File Transfer Protocol at ftp.irs.ustreas.gov

MAILYou can order forms, instructions,and publications by completing theorder blank on page 37.

WALK-INYou can pick up certain forms,instructions, and publications atmany post offices, librar ies, and IRSoffices. See page 36 for a partial listof products. You can alsophotocopy, or pr int out from aCD-ROM or the Internet, many otherproducts at participating librar ies.

The CD-ROM contains over 2,000 tax forms andpublications for small businesses, return preparers, andothers who frequently need current or prior year taxproducts. Popular tax forms on the CD-ROM may befilled-in electronically, then printed out for submission.Other products on the CD-ROM include the InternalRevenue Bulletin, Tax Supplements, and Internetresources for the tax professional with links to theWorld Wide Web. The CD-ROM can be purchased fromthe Government Printing Office (GPO), Superintendentof Documents for $17 plus the cost of either regularpostage ($3) or express delivery ($8.50).

CD-ROM

You can also get help in other ways—See pages35–36 for information.

To order the CD-ROM, call202-512-1800 or connect towww.access.gpo.gov/su_docsby computer.

Refund Information

You can check on the status of your 1997 refund usingTeleTax’s Refund Information service. (See page 40. )

IRS e-file. Click. Zip. Fast Roundtrip!

You can take advantageof the benefits of e-fileif:

● you’re expecting a REFUND and want it in halfthe time

● you want to file the FASTEST and mostACCURATE way possible (thereby reducing yourlikelihood of receiving an error notice)

● you want PROOF your return has been accepted

● if you want to file your Federal and state taxreturns together

Filing Seasone-file means a fast refund—even fasterwith Direct Deposit!

e-file Using A TaxProfessionalWhether you prepare your own returnand have a professional e-file it or havea tax professional prepare AND e-fileyour return, look for this sign.

e-file From Your Personal ComputerFile electronically from home using tax preparationsoftware, a personal computer and modem.

With TeleFile, a tax return can be filed with aTouch-Tone phone in about 10 minutes. It’s FREE,available 24 hours a day, 7 days a week for those whoreceive the TeleFile Tax Package.

Get all the details on page 7.

“IRS offers a number of electronicservices to make tax time easier. Formsand information are available on theInternet or by fax. In addition, you can fileyour return electronically using e-file! Lastyear, over 19 million taxpayers (peoplejust like you!) chose an e-file option tosend us their tax return—mostly becausethey wanted a FAST REFUND! With e-file,we offer a number of filing options. Youcan ask your tax professional to e-fileyour return, or if you prefer, file it fromhome using your personal computer. Ifyou receive a TeleFile Tax Package, use aTouch-Tone telephone.”

Mike Dolan, Deputy Commissioner, IRS

“I’ve been filing electronically for the pastfour years and think it’s GREAT! It’ssimple, FAST, and what’s more providesan acknowledgment that IRS received myreturn! I particularly like the Direct Depositfeature! I truly believe that if moretaxpayers tried it, they’d be convincedthat it’s the ONLY way to file their taxreturn especially since it lessens theirlikelihood of receiving an error notice.”

James Donelson,Chief Taxpayer Service, IRS

e file

- OR -

e-file By Phone

IRS Customer Service Standards

At the IRS our goal is tocontinually improve thequality of our services.To achieve that goal,we have developed cust-omer service standardsin the following areas:

● Access to information

● Accuracy

● Prompt refunds

● Canceling penalties

● Resolving problems

● Simpler forms

● Initial contact resolution

NATIONALPERFORMANCE

REVIEW

● Easier filing

If you would like information about theIRS standards and a report of our accom-plishments, see Pub. 2183.

A U T H O R I Z E D

IRSPROVIDER

e file

Before You Fill In Form 1040A

For details on these and other changes,see Pub. 553 or What’s Hot atwww.irs.ustreas.gov.

What’s New for 1997?Social Security Numbers (SSNs). You must includeon your return the correct SSN of each person youclaim as a—● Dependent on Form 1040A (for example, your

child).● Qualifying person for the child and dependent care

credit on Schedule 2.● Qualifying child on Schedule EIC for the earned

income credit.If you do not, at the time we process your return, wemay disallow that person as a dependent and reduceor disallow any other tax benefits (such as the creditslisted above) based on that person. To find out how toget an SSN, see page 14.Exception. If the person does not have and cannot getan SSN, enter that person’s individual taxpayeridentification number (ITIN) or adoption taxpayeridentification number (ATIN). However, you cannotclaim a person as a qualifying child on Schedule EICunless he or she has an SSN. See page 14 for detailson ITINs. See below for details on ATINs.Adoption Expenses. If you paid qualified adoptionexpenses in 1997 and the adoption was final in orbefore 1997, you may be able to take a credit of up to$5,000 ($6,000 for a child with special needs). SeeForm 8839 for details. If you receivedemployer-provided adoption benefits in 1997, you mustuse Form 8839 to figure the amount of benefits youmay exclude from your income.Adoption Taxpayer Identification Numbers (ATINs).If you have a child who was placed with you by anauthorized placement agency, you may be able toclaim the child as your dependent and also claim thechild and dependent care credit. However, if you donot know the child’s SSN, you must get an ATIN forthe child from the IRS. See Form W-7A for details.Spousal IRAs. On a joint return, up to $2,000 may becontributed to each spouse’s IRA even if only onespouse had earned income. Enter the total of bothspouses’ IRA deductions on line 15. See theworksheet on page 23 for details.Penalty-Free IRA Distributions. The additional tax onan early distribution from an IRA may not apply if youpaid medical expenses in 1997. See Form 5329 fordetails.Medical Savings Accounts (MSAs). If you or youremployer made contributions to your MSA for 1997,you must use Form 8853 and Form 1040.Long-Term Care Insurance. If you received benefitsunder a long-term care insurance contract, see theinstructions for Form 8853. You may be able to deductthe amount you paid for the insurance, but you mustuse Form 1040 and Schedule A to do so. Also, theunreimbursed expenses for the care of a chronically ill

individual may be deductible as a medical expense onSchedule A.Accelerated Death Benefits. See the instructions forForm 8853 if you received accelerated death benefitsunder a life insurance contract or from a viaticalsettlement provider. Generally, a viatical settlement isan arrangement that lets terminally ill individuals selltheir life insurance policies.

Earned Income Credit (EIC). You may be able to takethis credit if you earned less than $29,290 (less than$9,770 if you do not have any qualifying children). Seethe instructions for lines 29c and 29d that begin onpage 27.Caution: If it is determined that you are not entitled tothe EIC you claim, you may not be allowed to take thecredit for certain future years. For details, see Pub.596.

What To Look for in 1998Dependent Child Credit. You may be able to take a$400 credit for each of your dependent children underage 17. For more than two eligible dependent children,you may be able to take a larger credit.Student Loan Interest Deduction. You may be able todeduct up to $1,000 of the interest you pay on a loanfor qualified higher education expenses for yourself,your spouse, or your dependents. The deduction isallowed in figuring adjusted gross income. But youcannot take the deduction if you can be claimed as adependent on someone else’s 1998 tax return.Credits for Higher Education Expenses. You may beable to take the Hope credit for the tuition and relatedexpenses you pay for yourself, your spouse, ordependents to enroll at or attend an eligibleeducational institution. However, this credit onlyapplies to the first 2 years of postsecondary education.For qualified expenses paid after June 30, 1998, youmay be able to take the Lifetime Learning Credit. Thiscredit is not limited to the first 2 years ofpostsecondary education.Education IRAs. You may be able to contribute up to$500 each year to an education IRA for a person underage 18. The contributions are not deductible.IRA Deduction Restored for Some People Coveredby Retirement Plans. You may be able to take an IRAdeduction if you are covered by a retirement plan andyour 1998 modified adjusted gross income is less than$40,000 if not married ($60,000 if married filing jointlyor qualifying widow(er)). If you are not covered by aplan but your spouse is, new rules apply.Roth IRAs. You may be able to contribute up to$2,000 to a Roth IRA. Although the contributions arenot deductible, the earnings may be tax freedepending on when and why withdrawals are made.Penalty-Free IRA Distributions. The additional tax onan early distribution from an IRA may not apply if youpay higher education expenses for yourself, yourspouse, or your (or your spouse’s) children orgrandchildren. The tax also may not apply if you pay

expenses related to the purchase of a home by afirst-time homebuyer.Estimated Tax Penalty. You generally will not owe theestimated tax penalty if your 1998 tax return shows atax balance due the IRS of less than $1,000.

How To Avoid Common MistakesMistakes may delay your refund or result in noticesbeing sent to you.

1. Make sure you enter the correct social securitynumber (SSN) for each person you claim as adependent on line 6c or a qualifying child onSchedule EIC.

2. Check your math, especially when figuring yourtaxable social security benefits, deduction forexemptions, taxable income, Federal income taxwithheld, total payments, and refund or amountyou owe.

3. Remember to sign and date Form 1040A andenter your occupation.

4. Be sure you enter the correct tax on line 23. Also,enter your total tax on line 28.

5. Make sure you use the correct filing status. If youthink you can file as Head of household, read theinstructions for line 4 on page 15 to make sure youqualify.

6. Make sure your name, address, and SSN arecorrect on the peel-off label. If not, enter thecorrect information.

7. If you are married filing jointly and did not get apeel-off label, or you are married filing separately,enter your spouse’s SSN in the space provided onpage 1 of Form 1040A. Also, enter your SSN in thespace provided next to your name.

8. Enter your standard deduction on line 19. Also, ifyou check any box on line 18a or you (or yourspouse if filing jointly) can be claimed as adependent on someone’s 1997 return, be sure yousee page 24 to find the amount to enter on line 19.

9. If you (or your spouse if you check the box on line6b) were age 65 or older or blind, be sure to checkthe appropriate boxes on line 18a.

10. If you can be claimed as a dependent onsomeone’s 1997 return, such as your parents’return, do not check the box on line 6a. If filing ajoint return and your spouse can be claimed as adependent, do not check the box on line 6b.

11. Attach your W-2 form(s) and any other requiredforms and schedules.

12. If you owe tax, be sure to include the requiredinformation on your payment. See the instructionsfor line 33 on page 34 for details.

Do Both the Name and Social SecurityNumber (SSN) on Your Tax Forms AgreeWith Your Social Security Card?If not, your refund may be delayed or you may notreceive credit for your social security earnings.

If your Form W-2, Form 1099, or other tax documentshows an incorrect SSN or name, notify your employeror the form-issuing agent as soon as possible to makesure your earnings are credited to your social securityrecord. If the name or SSN on your social security cardis incorrect, call the Social Security Administration at1-800-772-1213.

Explore IRS e-file!

Millions of people JUST LIKE YOU file their tax returnsELECTRONICALLY using an e-file option becausethey offer:● A Fast Refund IN HALF THE TIME — Even

Faster with Direct Deposit● Faster Processing and Increased Accuracy● An Acknowledgment of IRS Receipt within 48

hoursIn many cases, e-file options allow you to file your

state tax return with your Federal return. What’s more,with e-file, your return is less likely to have errorstherefore lessening your chances of receiving a letterfrom IRS. Here’s how you can participate with e-file:

See A Tax Professional

e file Many tax professionals file returnselectronically for their clients. You canprepare your own return and have aprofessional transmit it electronicallyor you can have your return bothprepared AND transmittedelectronically. Look for the

“AUTHORIZED IRS e-file PROVIDER”sign. Tax professionals may charge afee to e-file your return and fees mayvary depending on the professionaland the specific services requested.

Use A Personal ComputerIf you have a modem, personal computer and taxpreparation software, you can e-file your tax returnfrom the convenience of your home. Tax preparationsoftware is available at your local computer retailer orthrough various web sites over the Internet. Through atax return transmitter, you can file 24 hours a day, 7days a week. A tax return transmitter may charge a feefor transmitting your return.

Visit a VITA/TCE SiteThe IRS offers FREE Volunteer Income Tax Assistance(VITA) and Tax Counseling for the Elderly (TCE)programs. Many of these sites also offer e-file. Seepage 35 for details on these programs.

(continued)

Ask Your Employer or Financial InstitutionSome businesses offer e-file FREE to their employeesas a benefit. Others offer it for a fee to customers. Askyour employer or financial institution if they offerelectronic filing. If they don’t, why not suggest thatthey offer it as a benefit or service?

Use a Phone

Your Easiest WayTo File

For millions of eligible taxpayers, TeleFileis the easiest way to file. The call onlytakes about 10 minutes! It allowstaxpayers to file simple Federal tax returnsusing a Touch-Tone telephone. It’scompletely paperless. Eligible taxpayerswill automatically receive the TeleFile TaxPackage in the mail. Parents!: If yourchildren receive a TeleFile Tax Package,please encourage them to use TeleFile!

What if a Taxpayer Died?If a taxpayer died before filing a return for 1997, thetaxpayer’s spouse or personal representative may haveto file and sign a return for that taxpayer. A personalrepresentative can be an executor, administrator, oranyone who is in charge of the deceased taxpayer’sproperty.

If the deceased taxpayer did not have to file a returnbut had tax withheld, a return must be filed to get arefund. The person who files the return should print“DECEASED,” the deceased taxpayer’s name, and thedate of death across the top of the return.

If your spouse died in 1997 and you did notremarry in 1997, or if your spouse died in 1998 beforefiling a return for 1997, you can file a joint return. Ajoint return should show your spouse’s 1997 incomebefore death and your income for all of 1997. Print“FILING AS SURVIVING SPOUSE” in the area whereyou sign the return. If someone else is the personalrepresentative, he or she must also sign.

The surviving spouse or personal representativeshould promptly notify all payers of income, includingfinancial institutions, of the taxpayer’s death. This willensure the proper reporting of income earned by thetaxpayer’s estate or heirs. A deceased taxpayer’ssocial security number should not be used for taxyears after the year of death, except for estate taxreturn purposes.Claiming a Refund for a Deceased Taxpayer. If youare filing a joint return as a surviving spouse, you onlyneed to file the tax return to claim the refund. If youare a court-appointed representative, file the returnand attach a copy of the certificate that shows yourappointment. All other filers requesting the deceasedtaxpayer’s refund must file the return and attach Form1310.

For more details, use TeleTax topic 356 (see page40) or see Pub. 559.

What Are the Filing Dates, Penalties, andExtensions?

If you were a participant in Operation JointGuard or you were in the Persian Gulf areacombat zone, see Pub. 3.

When Is Your Tax Return Due? Not later than April15, 1998.What if You Cannot File on Time? If you need moretime to complete your return, file Form 4868 with theIRS by April 15, 1998. This form will get you anautomatic 4-month extension. If you later find that youstill need more time, Form 2688 may get you anadditional extension. However, even if you get anextension, the tax you owe is still due April 15, 1998. Ifyou make a payment with Form 4868 or Form 2688,see the instructions for line 29e on page 33.What if You File or Pay Late? If you file or pay late,the IRS can charge you interest and penalties on theamount you owe.

If you file late, the penalty is usually 5% of theamount due for each month or part of a month yourreturn is late, unless you have a reasonableexplanation. If you do, attach it to your return. Thepenalty cannot usually be more than 25% of the taxdue. We will charge you interest on the penalty fromthe due date of the return (including extensions). Ifyour return is more than 60 days late, the minimumpenalty will be $100 or the amount of any tax you owe,whichever is smaller.

If you pay your taxes late, the penalty is usually 1⁄2 of1% of the unpaid amount for each month or part of amonth the tax is not paid. The penalty cannot be morethan 25% of the unpaid amount. It applies to anyunpaid tax on the return.Are There Other Penalties? Yes. Other penalties canbe imposed for negligence, substantial understatementof tax, and fraud. We will charge you interest on thesepenalties from the due date of the return (includingextensions). Criminal penalties may be imposed forwillful failure to file, tax evasion, or making a falsestatement. See Pub. 17 for details.

In addition to any other penalties, the law imposes apenalty of $500 for filing a frivolous return. A frivolousreturn is one that does not contain information neededto figure the correct tax or shows a substantiallyincorrect tax, because you take a frivolous position ordesire to delay or interfere with the tax laws. Thisincludes altering or striking out the preprinted languageabove the space where you sign.

Where Do You File?See the back cover for filing instructions andaddresses.Private Delivery Services. You can use certain privatedelivery services designated by the IRS to meet the“timely mailing as timely filing/paying” rule for taxreturns and payments. The IRS publishes a list of thedesignated private delivery services in September ofeach year. The list published in September 1997includes only the following:

● Airborne Express (Airborne): Overnight Air ExpressService, Next Afternoon Service, Second DayService.

● DHL Worldwide Express (DHL): DHL "Same Day"Service, DHL USA Overnight.

● Federal Express (FedEx): FedEx Priority Overnight,FedEx Standard Overnight, FedEx 2Day.

● United Parcel Service (UPS): UPS Next Day Air,UPS Next Day Air Saver, UPS 2nd Day Air, UPS2nd Day Air A.M.

The private delivery service can tell you how to getwritten proof of the mailing date.

Caution: Private delivery services cannot deliver itemsto P.O. boxes. You must use the U.S. Postal Service tomail any item to an IRS P.O. box address.

How Do You Get a Copy of Your TaxReturn?If you need a copy of your tax return, use Form 4506.If you have questions about your account, call or writeyour local IRS office. If you want a printed copy ofyour account, it will be mailed to you free of charge.

Filing Requirements

Do You Have To File?Note: These rules apply to all U.S. citizens, regardlessof where they live, and resident aliens.

Use Chart A, B, or C to see if you must file a return.

Even if you do not otherwise have to file areturn, you should file one to get a refundof any Federal income tax withheld. Youshould also file if you are eligible for theearned income credit.

Exception for Children Under Age 14If you are planning to file a return for your child whowas under age 14 on January 1, 1998, and certainother conditions apply, you may elect to include yourchild’s income on your return. But you must use Form

1040 and Form 8814 to do so. If you make thiselection, your child does not have to file a return. Fordetails, use TeleTax topic 553 (see page 40) or seeForm 8814.

Nonresident Aliens and Dual-Status AliensThese rules also apply to nonresident aliens anddual-status aliens who were married to U.S. citizens orresidents at the end of 1997 and who have elected tobe taxed as resident aliens. Other nonresident aliensand dual-status aliens have different filingrequirements. They may have to file Form 1040NR orForm 1040NR-EZ. Specific rules apply to determine ifyou are a resident or nonresident alien. See Pub. 519for details, including the rules for students andscholars who are aliens.

THEN file a returnif your gross income**was at least . . .

AND at the end of1997 you were* . . .IF your filing status is . . .

under 6565 or older

$6,8007,800Single

$12,20013,00013,800

under 65 (both spouses)65 or older (one spouse)65 or older (both spouses)

Married filing jointly***

Married filing separately $2,650any age

under 6565 or older

$8,7009,700Head of household

(see page 15)

Qualifying widow(er)with dependent child(see page 16)

$9,55010,350

under 6565 or older

* If you turned 65 on January 1, 1998, you are considered tobe age 65 at the end of 1997.

Chart A—For Most People

** Gross income means all income you received in the formof money, goods, property, and services that is not exemptfrom tax, including any gain on the sale of your home (even ifyou may exclude or postpone part or all of the gain). Do not

*** If you did not live with your spouse at the end of 1997 (oron the date your spouse died) and your gross income was atleast $2,650, you must file a return regardless of your age.

include social secur ity benefits unless you are marr ied filing aseparate return and you lived with your spouse at any timeduring 1997.

Chart B—For Children and Other Dependents

(See the instructions for line 6c that begin on page 16 to find out if someone can claim you as a dependent.)

If your parent (or someone else) can claim you as adependent, use this chart to see if you must file a return.

In this chart, unearned income includes taxableinterest and dividends. Earned income includes wages,tips, and taxable scholarship and fellowship grants.

Caution: If your gross income was $2,650 or more, youusually cannot be claimed as a dependent unless youwere under age 19 or a student under age 24. For details,see Test 4—Income on page 16.

Single dependents. Were you either age 65 or older or blind?

Your unearnedincome was:

$1 or more

$0

over $650

over $4,150

ANDThe total of that incomeplus your earned income was:

No. You must file a return if—

Yes. You must file a return if any of the following apply.

● Your earned income was over $5,150 ($6,150 if 65 or older and blind).

● Your unearned income was over $1,650 ($2,650 if 65 or older and blind).

● Your gross income was more than—

Married dependents. Were you either age 65 or older or blind?

The larger of:

$650 or your earnedincome (up to $4,150)

$1,000 ($2,000 if 65or older and blind)

PLUS This amount:

No. You must file a return if either of the following apply.

● Your gross income was at least $5 and your spouse files a separate return and itemizes deductions.

Your unearnedincome was:

$1 or more

$0

over $650

over $3,450

ANDThe total of that incomeplus your earned income was:

●

Yes. You must file a return if any of the following apply.

● Your earned income was over $4,250 ($5,050 if 65 or older and blind).

● Your unearned income was over $1,450 ($2,250 if 65 or older and blind).

● Your gross income was at least $5 and your spouse files a separate return and itemizes deductions.

● Your gross income was more than—

The larger of:

$650 or your earnedincome (up to $3,450)

$800 ($1,600 if 65or older and blind)

PLUS This amount:

Chart C—Other Situations When You Must File

You must also file a return if you received any advanceearned income credit (EIC) payments from youremployer. These payments should be shown in box 9of your W-2 form.

You must file a return using Form 1040 if any of thefollowing apply for 1997:● You owe any special taxes, such as social security

and Medicare tax on tips you did not report toyour employer, or

● You owe uncollected social security and Medicareor RRTA tax on tips you reported to your employeror on your group-term life insurance, or

● You had net earnings from self-employment of atleast $400, or

● You earned wages of $108.28 or more from achurch or a qualified church-controlledorganization that is exempt from employer socialsecurity and Medicare taxes, or

● You owe tax on a qualified retirement plan,including an individual retirement arrangement(IRA), or on a medical savings account (MSA). Butif you are filing a return only because you owe thetax on a qualified retirement plan, you can fileForm 5329 by itself.

Would It Help You To Itemize Deductions on Form 1040?

You may be able to reduce your tax by itemizingdeductions on Schedule A (Form 1040). Itemizeddeductions include amounts you paid for state and

Your filing status is: AND Your itemized deductions are more than:

Single● Under 65 ● $4,150● 65 or older or blind ● 5,150● 65 or older and blind ● 6,150

Married filing jointly● Under 65 (both spouses) ● $6,900● 65 or older or blind (one spouse) ● 7,700● 65 or older or blind (both spouses) ● 8,500● 65 or older and blind (one spouse) ● 8,500● 65 or older or blind (one spouse) and

65 or older and blind (other spouse) ● 9,300● 65 or older and blind (both spouses) ● 10,100

Married filing separately *● Your spouse itemizes deductions ● $0● Under 65 ● 3,450● 65 or older or blind ● 4,250● 65 or older and blind ● 5,050

Head of household● Under 65 ● $6,050● 65 or older or blind ● 7,050● 65 or older and blind ● 8,050

Qualifying widow(er) with dependent child● Under 65 ● $6,900● 65 or older or blind ● 7,700● 65 or older and blind ● 8,500

* If you can take an exemption for your spouse, see StandardDeduction Chart for People Age 65 or Older or Blind on page

If someone can claim you as a dependent, it wouldbenefit you to itemize deductions if they total more

local income taxes, real estate taxes, mortgage interest,and medical expenses. You may also include gifts tocharity. You would usually benefit by itemizing if—

than your standard deduction figured on the StandardDeduction Worksheet for Dependents on page 24.

24 for the amount that applies to you.

Where To Report Certain Items From 1997 Forms W-2, 1098, and 1099

Form Item and Box in Which it Should Appear Where To Report on Form 1040A

W-2 Wages, salaries, tips, etc. (box 1) Line 7

Allocated tips (box 8) See Tip income on page 18

Advance EIC payments (box 9) Line 26

Dependent care benefits (box 10) Schedule 2, line 10

W-2G Gambling winnings (box 1) Must file Form 1040

1098 Mortgage interest (box 1)

Points (box 2)Must file Form 1040 to deduct

Refund of overpaid interest (box 3) See the instructions on Form 1098

1099-A Acquisition or abandonment of secured property See Pub. 544

1099-B Stocks, bonds, etc. (box 2)Must file Form 1040

Bartering (box 3)

1099-DIV Ordinary dividends (box 1b)

Capital gain distributions (box 1c)

Line 9

Nontaxable distributions (box 1d)

1099-G Unemployment compensation (box 1) Line 12. But if you repaid any unemployment compensation in 1997, see theinstructions for line 12 on page 21

State or local income tax refund (box 2) See the instructions on page 18

1099-INT Interest income (box 1)

Interest on U.S. savings bonds andTreasury obligations (box 3)

Foreign tax paid (box 5)Must file Form 1040

1099-MISC

1099-OID Original issue discount (box 1)

Other periodic interest (box 2)See the instructions on Form 1099-OID

Early withdrawal penalty (box 3) Must file Form 1040

1099-R See the instructions for lines 10a and 10b on page 19

1099-S Gross proceeds from real estatetransactions (box 2) Must file Form 1040

Distributions from IRAs*

Distributions from pensions, annuities, etc. See the instructions for lines 11a and 11b that begin on page 19

Capital gain (box 3) See the instructions on Form 1099-R

%

Report any amounts shown on these forms as Federal income tax withheld on Form 1040A, line 29a.

Investment expenses (box 1e)

Foreign tax paid (box 3)

Line 9

Must file Form 1040

Line 8a

1099-PATR Patronage dividends and otherdistributions from a cooperative(boxes 1, 2, 3, and 5)

Must file Form 1040 if taxable (see the instructions onForm 1099-PATR)

Buyer’s part of real estate tax (box 5) %

1099-C Must file Form 1040 if taxable (see the instructions on Form 1099-C)Canceled debt (box 2)

Must file Form 1040

See the instructions for line 8a that begin on page 18

Must file Form 1040Miscellaneous income

Early withdrawal penalty (box 2)

%

%

%

%

1099-LTC Long-term care and accelerated deathbenefits

Must file Form 1040 if required to file Form 8853 (see the instructions forForm 8853)

1099-MSA Distributions from medical savingsaccounts

Must file Form 1040

Adoption benefits (box 13, code T)

Employer contributions to an MSA (box 13,code R)

Form 8839, line 13

Must file Form 1040

*This includes distributions from SEPs and SIMPLE IRAs.

Need More Information or Forms? You can use a personalcomputer, fax, or phone to get what you need. See page 4.

Who Can Use Form 1040A?

You can use Form 1040A if all five of the followingapply.1. You only had income from the following sources:

● Wages, salaries, tips● Interest and dividends● Taxable scholarship and fellowship grants● Pensions, annuities, and IRAs● Unemployment compensation● Taxable social security and railroad retirement

benefits● Alaska Permanent Fund dividends

2. The only adjustment to income you can claim isthe IRA deduction.

3. You do not itemize deductions.4. Your taxable income (line 22) is less than $50,000.5. The only tax credits you can claim are:

● Earned income credit● Credit for child and dependent care expenses● Credit for the elderly or the disabled● Adoption creditYou can also use Form 1040A if you received

advance earned income credit (EIC) payments or youowe household employment taxes or the alternativeminimum tax.

When Must You Use Form 1040?

You must use Form 1040 if any of the following apply.1. You received any of the following types of income:

● Income from self-employment (business or farmincome)

● Certain tips you did not report to your employer.See Tip income on page 18

● Capital gain distributions or nontaxabledistributions

● Income received as a partner in a partnership,shareholder in an S corporation, or abeneficiary of an estate or trust

2. You received or paid interest on securitiestransferred between interest payment dates.

3. You can exclude either of the following types ofincome:

● Foreign earned income you received as a U.S.citizen or resident alien

● Certain income received from sources in a U.S.possession if you were a bona fide resident ofAmerican Samoa for all of 1997

4. You had a financial account in a foreign country,such as a bank account or securities account.Exception. If the combined value of theaccounts was $10,000 or less during all of 1997 orif the accounts were with a U.S. military bankingfacility operated by a U.S. financial institution,you may file Form 1040A.

5. You received a distribution from a foreign trust.6. You are reporting original issue discount (OID) in an

amount more or less than the amount shown onForm 1099-OID.

Line Instructions for Form 1040A

How Should You Fill In the Form?● Use a black or blue ballpoint pen on the copy you

send us. The machines may not be able to readred ink or pencil.

● Print names and words in ALL CAPITAL LETTERS.● Line up dollar amounts with the decimal points. Do

not use commas or dollar signs.

● If you do not have an entry for a line, leave itblank. Do not enter a dash or a 0 unless theinstructions for a specific line tell you to enter 0.

● We encourage you to round off cents to thenearest whole dollar. See Rounding Off to WholeDollars on page 18. If you do round off, leave theboxes blank to the right of the decimal points.

Name, Address, and Social SecurityNumber (SSN)Use the Peel-Off Label. Using the peel-off label in thisbooklet will speed the processing of your return. It alsoprevents common errors that can delay refunds orresult in unnecessary notices. Attach the label to yourreturn after you have finished it. Cross out any errorsand print the correct information. Add any missingitems, such as your apartment number.Address Change. If the address on your peel-off labelis not your current address, cross out the old addressand print your new address. If you plan to move afterfiling your return, see page 35.Name Change. If you changed your name, be sure toreport the change to your local Social SecurityAdministration office before you file your return. Thisprevents delays in processing your return and issuingrefunds. It also safeguards your future social securitybenefits. If you received a peel-off label, cross out yourformer name and print your new name.What if You Do Not Have a Label? Print theinformation in ALL CAPITAL LETTERS in the spacesprovided. Be sure to enter your SSN(s) in theappropriate boxes. If you are married filing a separatereturn, print your husband’s or wife’s name on line 3instead of below your name.Social Security Number (SSN). An incorrect ormissing SSN may increase your tax or reduce yourrefund. To apply for an SSN, get Form SS-5 fromyour local Social Security Administration (SSA) office orcall the SSA at 1-800-772-1213. Fill in Form SS-5 andreturn it to the SSA. It usually takes about 2 weeks toget an SSN.IRS Individual Taxpayer Identification Numbers(ITINs) for Aliens. The IRS will issue you an ITIN if youare a nonresident or resident alien and you do nothave and are not eligible to get a social securitynumber (SSN). To apply for an ITIN, file Form W-7with the IRS. It usually takes about 30 days to get anITIN. Enter your ITIN wherever your SSN isrequested on your tax return.Note: An ITIN is for tax use only. It does not entitle youto social security benefits or change your employmentor immigration status under U.S. law.Nonresident Alien Spouse. If your spouse is anonresident alien and you file a joint or separate return,your spouse must have either an SSN or an ITIN.P.O. Box. Enter your box number instead of yourstreet address only if your post office does not delivermail to your home.Foreign Address. Print the information in the followingorder: city, province or state, and country. Follow thecountry’s practice for entering the postal code. Pleasedo not abbreviate the country name.

Presidential Election Campaign FundThis fund helps pay for Presidential electioncampaigns. The fund reduces candidates’ dependenceon large contributions from individuals and groups andplaces candidates on an equal financial footing in thegeneral election.

If you want $3 to go to this fund, check the “Yes”box. If you are filing a joint return, your spouse mayalso have $3 go to the fund. If you check “Yes,” yourtax or refund will not change.

Filing StatusCheck only the filing status that applies to you. Theones that will usually give you the lowest tax are listedlast.● Married filing separately● Single● Head of household● Married filing jointly or Qualifying widow(er) with

dependent child

More than one filing status may apply toyou. Choose the one that will give you thelowest tax.

Line 1

SingleYou may check the box on line 1 if any of thefollowing was true on December 31, 1997:● You were never married, or● You were legally separated, according to your

state law, under a decree of divorce or of separatemaintenance, or

● You were widowed before January 1, 1997, anddid not remarry in 1997.

Line 2

Married Filing JointlyYou may check the box on line 2 if any of thefollowing is true:● You were married as of December 31, 1997, even

if you did not live with your spouse at the end of1997, or

● Your spouse died in 1997 and you did not remarryin 1997, or

● Your spouse died in 1998 before filing a 1997return.

A husband and wife may file a joint return even ifonly one had income or if they did not live together allyear. However, both persons must sign the return andboth are responsible. This means that if one spousedoes not pay the tax due, the other may have to. Ifyou file a joint return for 1997, you may not, after thedue date for filing that return, amend it to file asmarried filing separately.Nonresident Aliens and Dual-Status Aliens. You maybe able to file a joint return. See Pub. 519 for details.

Line 3

Married Filing SeparatelyIf you are married and file a separate return, you willusually pay more tax than if you file a joint return.Generally, you report only your own income,exemptions, deductions, and credits. Different rulesapply to people in community property states. Seepage 18.

You may be able to file as head ofhousehold if you had a child living withyou and you lived apart from your spouseduring the last 6 months of 1997. SeeMarried Persons Who Live Apart onthis page.

Line 4

Head of HouseholdThis filing status is for unmarried individuals whoprovide a home for certain other persons. (Somemarried persons who live apart may also qualify. Seethis page.) You may check the box on line 4 only ifyou were unmarried or legally separated as ofDecember 31, 1997, and either 1 or 2 below apply toyou.1. You paid over half the cost of keeping up a home

that was the main home for all of 1997 of yourparent whom you can claim as a dependent. Yourparent did not have to live with you in your home;or

2. You paid over half the cost of keeping up a homein which you lived and in which one of thefollowing also lived for more than half of the year (ifhalf or less, see the Exception on this page).● Your unmarried child, adopted child,

grandchild, great-grandchild, etc., or stepchild.This child does not have to be your dependent.But in this case, print the child’s name in thespace provided on line 4. If you do not enterthe name, it will take us longer to process yourreturn.

● Your married child, adopted child, grandchild,great-grandchild, etc., or stepchild. This childmust be your dependent. But if your marriedchild’s other parent claims him or her as adependent under the rules for Children ofDivorced or Separated Parents on page 17,this child does not have to be your dependent.Print the child’s name on line 4. If you do notenter the name, it will take us longer toprocess your return.

● Your foster child, who must be yourdependent.

● Any other relative you can claim as adependent. For the definition of a relative, seeTest 1—Relationship on the next page. But

for this purpose, the Exception at the end ofthat test does not apply.

Note: You cannot file as head of household if yourchild, parent, or relative described earlier is yourdependent under the rules on page 17 for PersonSupported by Two or More Taxpayers.Married Persons Who Live Apart. Even if you werenot divorced or legally separated in 1997, you may beable to file as head of household. You may check thebox on line 4 if all five of the following apply.1. You must have lived apart from your spouse for

the last 6 months of 1997. Caution: Temporaryabsences for special circumstances, such as forbusiness, medical care, school, or military service,count as time lived in the home.

2. You file a separate return from your spouse.3. You paid over half the cost of keeping up your

home for 1997.4. Your home was the main home of your child,

adopted child, stepchild, or foster child for morethan half of 1997 (if half or less, see the Exceptionbelow).

5. You claim this child as your dependent or thechild’s other parent claims him or her under therules for Children of Divorced or SeparatedParents on page 17. If this child is not yourdependent, be sure to print the child’s name online 4. If you do not enter the name, it will take uslonger to process your return.

If all five apply, you may be able to takethe credit for child and dependent careexpenses, and the earned income credit.You can also take the standard deductioneven if your spouse itemizes deductions.For more details, see the instructions forthese topics.

Keeping Up a Home. To find out what is included inthe cost of keeping up a home, see Pub. 501.

If you used payments you received under TemporaryAssistance for Needy Families (formerly Aid to FamiliesWith Dependent Children (AFDC)) or other publicassistance programs to pay part of the cost ofkeeping up your home, you cannot count them asmoney you paid. However, you must include them inthe total cost of keeping up your home to figure if youpaid over half of the cost.Dependent. To find out if someone is your dependent,see the instructions for line 6c.Exception. You can count temporary absences, suchas for school, vacation, or medical care, as time livedin the home. If the person for whom you kept up ahome was born or died in 1997, you may still file ashead of household as long as the home was thatperson’s main home for the part of the year he or shewas alive.


Line 5

Qualifying Widow(er) With Dependent ChildYou may check the box on line 5 and use joint returntax rates for 1997 if all five of the following apply.1. Your spouse died in 1995 or 1996 and you did not

remarry in 1997.2. You have a child, adopted child, stepchild, or

foster child whom you claim as a dependent.3. This child lived in your home for all of 1997.

Temporary absences, such as for school, vacation,or medical care, count as time lived in the home.

4. You paid over half the cost of keeping up yourhome.

5. You could have filed a joint return with yourspouse the year he or she died, even if you did notactually do so.

If your spouse died in 1997, you may not file asqualifying widow(er) with dependent child. Instead, seethe instructions for line 2.

ExemptionsFor each exemption you can take, you can deduct$2,650 on line 21.

Line 6b

Spouse

Check the box on line 6b if you file either (1) a jointreturn, or (2) a separate return and your spouse had noincome and is not filing a return. However, do notcheck the box if your spouse can be claimed as adependent on another person’s return. If you weredivorced or legally separated at the end of 1997, youcannot take an exemption for your former spouse. If, atthe end of 1997, your divorce was not final (aninterlocutory decree), you are considered married forthe whole year.Death of Your Spouse. If your spouse died in 1997and you did not remarry by the end of 1997, check thebox on line 6b if you could have taken an exemptionfor your spouse on the date of death. For other filinginstructions, see What if a Taxpayer Died? on page 8.

Line 6c

Dependents

You can take an exemption for each of yourdependents who was alive during some part of 1997.This includes a baby born in 1997 or a person whodied in 1997. For more details, see Pub. 501. Anyperson who meets all five of the following testsqualifies as your dependent.

If you have more than six dependents, attach astatement to your return with the required information.

Test 1—Relationship

The person must be your relative. But see Exceptionat the end of this test, Test 1. The following people areconsidered your relatives:

● Your child, stepchild, adopted child; a child wholived in your home as a family member if placedwith you by an authorized placement agency forlegal adoption; or a foster child (any child wholived in your home as a family member for thewhole year).

● Your grandchild, great-grandchild, etc.● Your son-in-law, daughter-in-law.● Your parent, stepparent, parent-in-law.● Your grandparent, great-grandparent, etc.● Your brother, sister, half brother, half sister,

stepbrother, stepsister, brother-in-law,sister-in-law.

● Your aunt, uncle, nephew, niece if related byblood.

Any relationships established by marriage are nottreated as ended by divorce or death.Exception. A person who lived in your home as afamily member for the entire year can also beconsidered a dependent. However, the relationshipmust not violate local law.

Test 2—Married Person

If the person is married and files a joint return, youcannot take an exemption for the person.

If the person and the person’s spouse filea joint return only to get a refund of all taxwithheld, you may be able to claim him orher if the other four tests are met. SeePub. 501 for details.

Test 3—Citizen or Resident

The person must be one of the following:● A U.S. citizen or resident alien, or● A resident of Canada or Mexico, or● Your adopted child who is not a U.S. citizen but

who lived with you all year in a foreign country.

Test 4—Income

Generally, the person’s gross income must be lessthan $2,650. Gross income does not includenontaxable income, such as welfare benefits ornontaxable social security benefits. Income earned bya permanently and totally disabled person for servicesperformed at a sheltered workshop school is generallynot included for purposes of the income test. See Pub.501 for details.Exception for Your Child. Your child can have grossincome of $2,650 or more if:1. Your child was under age 19 at the end of 1997,

or 2. Your child was under age 24 at the end of 1997

and was a student.Your child was a student if during any 5 months of

1997 he or she—● Was enrolled as a full-time student at a school, or● Took a full-time, on-farm training course. The

course had to be given by a school or a state,county, or local government agency.

A school includes technical, trade, and mechanicalschools. It does not include on-the-job trainingcourses, correspondence schools, or night schools.

Test 5—Support

The general rule is that you had to provide over halfthe person’s total support in 1997. If you file a jointreturn, support can come from either spouse. If youremarried, the support provided by your new spouse istreated as support coming from you. For exceptions tothe support test, see Children of Divorced orSeparated Parents and Person Supported by Two orMore Taxpayers on this page.

Support includes food, a place to live, clothing,medical and dental care, and education. It alsoincludes items such as a car and furniture, but only ifthey are for the person’s own use or benefit. In figuringtotal support:● Use the actual cost of these items. But you should

figure the cost of a place to live at its fair rentalvalue.

● Include money the person used for his or her ownsupport, even if this money was not taxable.Examples are gifts, savings, social security andwelfare benefits, and other public assistancepayments. This support is treated as not comingfrom you.

Support does not include items such as income tax,social security and Medicare tax, life insurancepremiums, scholarship grants, or funeral expenses.

If you care for a foster child, see Pub. 501 forspecial rules that apply.Children of Divorced or Separated Parents. Specialrules apply to determine if the support test is met forchildren of divorced or separated parents. The rulesalso apply to children of parents who lived apart duringthe last 6 months of the year, even if they do not havea separation agreement. For these rules, a custodialparent is the parent who had custody of the child formost of the year. A noncustodial parent is the parentwho had custody for the shorter period of time or whodid not have custody at all. See Pub. 501 for thedefinition of custody.

The general rule is that the custodial parent istreated as having provided over half of the child’s totalsupport if both parents together paid over half of thechild’s support. This means that the custodial parentcan claim the child as a dependent if the otherdependency tests are also met.

But if you are the noncustodial parent, you aretreated as having provided over half of the child’ssupport and can claim the child as a dependent if bothparents together paid over half of the child’s support,the other dependency tests are met, and either 1 or 2below applies.1. The custodial parent agrees not to claim the child’s

exemption for 1997 by signing Form 8332 or asimilar statement. But you (as the noncustodialparent) must attach this signed Form 8332 orsimilar statement to your return. Instead ofattaching Form 8332, you can attach a copy ofcertain pages of your divorce decree or separationagreement if it went into effect after 1984 (see

Children Who Did Not Live With You Due toDivorce or Separation on this page), or

2. Your divorce decree or written separationagreement went into effect before 1985 and itstates that you (the noncustodial parent) can claimthe child as a dependent. But you must have givenat least $600 for the child’s support in 1997. Thisrule does not apply if your decree or agreementwas changed after 1984 to say that you cannotclaim the child as your dependent.

Person Supported by Two or More Taxpayers. Evenif you did not pay over half of another person’ssupport, you might still be able to claim him or her asa dependent if all five of the following apply.1. You and one or more other eligible person(s) (see

below) together paid over half of another person’ssupport.

2. You paid over 10% of that person’s support.3. No one alone paid over half of that person’s

support.4. Tests 1 through 4 on page 16 are met.5. Each other eligible person who paid over 10% of

support completes Form 2120, and you attachthese forms to your return. The form states thatonly you will claim the person as a dependent for1997.

An eligible person is someone who could haveclaimed another person as a dependent except that heor she did not pay over half of that person’s support.

Line 6c, Column (2). You must enter eachdependent’s social security number (SSN). If you donot enter the correct SSN, at the time we process yourreturn, we may disallow the exemption claimed for thedependent.

For details on how your dependent canget an SSN, see page 14. If yourdependent will not have an SSN by April15, 1998, see What if You Cannot Fileon Time? on page 8.

If your dependent child was born and died in 1997and you do not have an SSN for the child, attach acopy of the child’s birth certificate and print “DIED” incolumn (2).Line 6c, Column (4). Enter the number of months yourdependent lived with you in 1997. Count temporaryabsences, such as for school, vacation, or medicalcare, as time lived in your home. If your dependentwas born or died in 1997, enter “12.” If yourdependent lived in Canada or Mexico during 1997, donot enter a number. Instead, print “CN” or “MX,”whichever applies.Children Who Did Not Live With You Due to Divorceor Separation. If you are claiming a child who did notlive with you under the rules on this page for Childrenof Divorced or Separated Parents, attach Form 8332or similar statement to your return. But see Exceptionon page 18. If your divorce decree or separationagreement went into effect after 1984 and it states you


can claim the child as your dependent without regardto any condition, such as payment of support, youmay attach a copy of the following pages from thedecree or agreement instead.1. Cover page (put the other parent’s SSN on that

page), and2. The page that states you can claim the child as

your dependent, and3. Signature page with the other parent’s signature

and date of agreement.Note: You must attach the required information even ifyou filed it in an earlier year.

Exception. You do not have to attach Form 8332 orsimilar statement if your divorce decree or writtenseparation agreement went into effect before 1985 andit states that you can claim the child as yourdependent.Other Dependent Children. Enter the total number ofchildren who did not live with you for reasons otherthan divorce or separation on the line labeled“Dependents on 6c not entered above.” Includedependent children who lived in Canada or Mexicoduring 1997.

Adjusted Gross Income

Rounding Off to Whole DollarsYou may find it easier to do your return if you roundoff cents to the nearest whole dollar. You can dropamounts that are less than 50 cents. For example,$129.39 becomes $129. Increase amounts that are 50cents or more to the next whole dollar. For example,$235.50 becomes $236. If you do round off, do so forall amounts. But if you have to add two or moreamounts to figure the amount to enter on a line,include cents when adding and only round off thetotal.Example. You received two W-2 forms, one showingwages of $5,009.55 and one showing wages of$8,760.73. On Form 1040A, line 7, you would enter13,770 ($5,009.55 + $8,760.73 = $13,770.28).

Refunds of State or Local Income TaxesIf you received a refund, credit, or offset of state orlocal income taxes in 1997, you may receive a Form1099-G. None of your refund is taxable if, in the yearthe tax was paid to the state or other taxing authority,you:● Filed Form 1040EZ,● Filed Form 1040A, or● Used TeleFile.

But if the refund, credit, or offset was for a tax youdeducted as an itemized deduction, you may have toreport part or all of it as income on Form 1040 for1997. Use TeleTax topic 405 (see page 40) or see Pub.525 for details.

Community Property StatesCommunity property states are Arizona, California,Idaho, Louisiana, Nevada, New Mexico, Texas,Washington, and Wisconsin. If you and your spouselived in a community property state, you must usuallyfollow state law to determine what is community

income and what is separate income. For details, seePub. 555.

Line 7

Wages, Salaries, Tips, etc.

Enter the total of your wages, salaries, tips, etc. If ajoint return, also include your spouse’s income. Formost people, the amount to enter on this line shouldbe shown in box 1 of their Forms W-2. But thefollowing types of income must also be included in thetotal on line 7.● Wages received as a household employee for

which you did not receive a W-2 form becauseyour employer paid you less than $1,000 in 1997.

● Tip income you did not report to your employer.But you must use Form 1040 and Form 4137 if (1)you received tips of $20 or more in any month anddid not report the full amount to your employer OR(2) your W-2 form(s) shows allocated tips that youmust report as income. You must report theallocated tips shown on your W-2 form(s) unlessyou can prove that you received less. Allocatedtips should be shown in box 8 of your W-2 form(s).They are not included as income in box 1. SeePub. 531 for more details.

● Disability pensions shown on Form 1099-R if youhave not reached the minimum retirement age setby your employer. Disability pensions receivedafter you reach that age and other pensions shownon Form 1099-R (other than payments from anIRA, including a SEP or SIMPLE IRA) are reportedon lines 11a and 11b of Form 1040A. Paymentsfrom an IRA are reported on lines 10a and 10b.

● Scholarship and fellowship grants not reportedon a W-2 form. Also, print “SCH” and the amountin the space to the left of line 7. Exception. If youwere a degree candidate, include on line 7 onlythe amounts you used for expenses other thantuition and course-related expenses. For example,amounts used for room, board, and travel must bereported on line 7.

● Dependent care benefits, which should be shownin box 10 of your W-2 form(s). But first completeSchedule 2 to see if you may exclude part or all ofthe benefits.

● Employer-provided adoption benefits, whichshould be shown in box 13 of your W-2 form(s)with code T. But first complete Form 8839 to seeif you may exclude part or all of the benefits.

Missing or Incorrect Form W-2? If you do not get aW-2 form from your employer by February 2, 1998, useTeleTax topic 154 (see page 40) to find out what to do.Even if you do not get a W-2, you must still report yourearnings on line 7. If you lose your Form W-2 or it isincorrect, ask your employer for a new one.

Line 8a

Taxable Interest

Each payer should send you a Form 1099-INT orForm 1099-OID. Report all of your taxable interestincome on line 8a. But you must fill in and attachSchedule 1, Part I, if:

● You had over $400 of taxable interest income, or● You received interest from a seller-financed

mortgage and the buyer used the property as apersonal residence, or

● You are claiming the exclusion of interest fromseries EE U.S. savings bonds issued after 1989, or

● You received interest as a nominee or a Form1099-INT for tax-exempt interest.

Include taxable interest from seller-financedmortgages, banks, savings and loan associations,money market certificates, credit unions, savingsbonds, etc. Interest credited in 1997 on deposits thatyou could not withdraw because of the bankruptcy orinsolvency of the financial institution may not have tobe included in your 1997 income. For details, see Pub.550.

If you get a 1997 Form 1099-INT for U.S.savings bond interest that includesamounts you reported before 1997, seePub. 550.

Line 8b

Tax-Exempt Interest

If you received any tax-exempt interest, such as frommunicipal bonds, report it on line 8b. Include anyexempt-interest dividends from a mutual fund. Do notinclude interest earned on your IRA.

Line 9

Dividends

Each payer should send you a Form 1099-DIV. Reportyour total gross dividends on line 9. But you must fill inand attach Schedule 1, Part II, if the total is over $400or you received dividends as a nominee (that is, in yourname but the dividends actually belong to someoneelse). (See page 49.) But you must use Form 1040 ifyou had capital gain or nontaxable distributions.

For more information, see Pub. 550.

Lines 10a and 10b

IRA Distributions

You should receive a Form 1099-R showing theamount of the distribution from your individualretirement arrangement (IRA). Unless otherwise notedin the line 10a and 10b instructions, an IRA includes asimplified employee pension (SEP) and a savingsincentive match plan for employees (SIMPLE) IRA.Leave line 10a blank and enter the total distribution online 10b.Exception. Do not enter your total IRA distribution online 10b if either 1 or 2 below applies.1. You made nondeductible contributions to any of

your IRAs (other than SIMPLE IRAs) for 1997 or anearlier year. Instead, use Form 8606 to figure theamount to enter on line 10b; enter the total

distribution on line 10a. If you made nondeductiblecontributions for 1997, also see Pub. 590.

2. You rolled your IRA or SEP distribution over intoanother IRA or SEP, or you rolled your SIMPLEIRA distribution over into another SIMPLE IRA.Enter the total distribution on line 10a and print“ROLLOVER” next to line 10b. If the total on line10a was rolled over, enter zero on line 10b. If thetotal was not rolled over, enter the part not rolledover on line 10b. But if 1 above also applies, useForm 8606 to figure the taxable part.

If you rolled over the distribution (1) in 1998 or (2)from a conduit IRA into a qualified plan, attach astatement explaining what you did.Caution: You may have to pay additional tax if (1) youreceived an early distribution from your IRA and thetotal distribution was not rolled over, or (2) you wereborn before July 1, 1926, and received less than theminimum required distribution. To find out if you owethis tax, see Pub. 590. If you do owe this tax, youmust use Form 1040.

Lines 11a and 11b

Pensions and Annuities

You should receive a Form 1099-R showing theamount of your pension and annuity payments. Seepage 21 for details on rollovers and lump-sumdistributions.

Do not report on lines 11a and 11b disabilitypensions received before you reach the minimumretirement age set by your employer. Instead, reportthem on line 7.

Attach Form 1099-R to Form 1040A if anyFederal income tax was withheld.

Fully Taxable Pensions and Annuities. If yourpension or annuity is fully taxable, enter it on line 11b;do not make an entry on line 11a. Your payments arefully taxable if either of the following applies:● You did not contribute to the cost (see page 20) of

your pension or annuity, or● You got back your entire cost tax free before 1997.

Fully taxable pensions and annuities also includemilitary retirement pay shown on Form 1099-R. Fordetails on military disability pensions, see Pub. 525. Ifyou received a Form RRB-1099-R, see Pub. 575 tofind out how to report your benefits.Partially Taxable Pensions and Annuities. If yourpension or annuity is partially taxable and your Form1099-R does not show the taxable part, you must usethe General Rule to figure the taxable part. TheGeneral Rule is explained in Pub. 939. However, ifyour annuity starting date (defined on page 20) wasafter July 1, 1986, you may be able to use theSimplified Method explained on page 20. But if yourannuity starting date was after November 18, 1996,and items 1, 2, and 3 under Simplified Method apply,


you must use the Simplified Method to figure thetaxable part.

You can ask the IRS to figure the taxable part foryou for a $75 fee. For details, see Pub. 939.

If your Form 1099-R shows a taxable amount, youmay report that amount on line 11b. But you may beable to report a lower taxable amount by using theGeneral Rule or the Simplified Method.

Once you have figured the taxable part of yourpension or annuity, enter that amount on line 11b andthe total on line 11a.Annuity Starting Date. Your annuity starting date isthe later of the first day of the first period for whichyou received a payment, or the date the plan’sobligations became fixed.Simplified Method. If your annuity starting date(defined above) was after July 1, 1986, and all three ofthe following apply, you can use this simple method.But if your annuity starting date was after November18, 1996, and all three of the following apply, youmust use the Simplified Method.1. The payments are for (a) your life or (b) your life

and that of your beneficiary.2. The payments are from a qualified employee plan,

a qualified employee annuity, or a tax-shelteredannuity.

3. At the time the pension or annuity paymentsbegan, either you were under age 75 or thenumber of years of guaranteed payments wasfewer than 5. See Pub. 575 for the definition ofguaranteed payments.

If all three apply, use the worksheet below to figurethe taxable part of your pension or annuity. For moredetails on the Simplified Method, see Pub. 575 or Pub.721 for U.S. Civil Service retirement.Caution: If you received U.S. Civil Service retirementbenefits and you chose the lump-sum credit option,use the worksheet in Pub. 721. Do not use theworksheet below.Age at Annuity Starting Date. If you are the retiree,use your age on the annuity starting date. If you arethe survivor of a retiree, use the retiree’s age on his orher annuity starting date. If you are the beneficiary ofan employee who died, see Pub. 575. If there is morethan one beneficiary, see Pub. 575 or Pub. 721 tofigure each beneficiary’s taxable amount.Changing Methods. If your annuity starting date wasafter July 1, 1986, and before November 19, 1996,you may be able to change from the General Rule tothe Simplified Method (or the other way around). Fordetails, see Pub. 575 or Pub. 721.Cost. Your cost is generally your net investment in theplan as of the annuity starting date. It should be shownin box 9b of Form 1099-R for the first year youreceived payments from the plan.Death Benefit Exclusion. If you are the beneficiary ofa deceased employee or former employee who diedbefore August 21, 1996, amounts paid to you by, oron behalf of, an employer because of the death of theemployee may qualify for a death benefit exclusion ofup to $5,000. If you are entitled to this exclusion, addit to the amount you enter on line 2 of the worksheet.

Simplified Method Worksheet—Lines 11a and 11b (keep for your records)

1. Enter the total pension or annuity payments received this year. Also, enter this amount on Form1040A, line 11a

2. Enter your cost in the plan at the annuity starting date plus any death benefitexclusion (see above)

3. Enter the appropriate number from the table belowDivide line 2 by the number on line 34.

5.

6.7.8.9.

Multiply line 4 by the number of months for which this year’s payments were made.If your annuity starting date was before 1987, skip lines 6 and 7 and enter this amounton line 8. Otherwise, go to line 6Enter the amount, if any, recovered tax free in years after 1986Subtract line 6 from line 2Enter the smaller of line 5 or line 7Taxable amount. Subtract line 8 from line 1. Enter the result, but not less than zero. Also, enter thisamount on Form 1040A, line 11b. If your Form 1099-R shows a larger amount, use the amount on thisline instead of the amount from Form 1099-R

1.

2.

4.

5.6.7.

8.

9.

3.

Note: If you had more than one partially taxable pension orannuity, figure the taxable part of each separately. Enter the totalof the taxable parts on Form 1040A, line 11b. Enter the total

IF the age at annuitystarting date (seeabove) was . . .

before November 19,1996, enter on line 3:

55 or under56-6061-6566-7071 or older 120

300260240170

160

360310260210

after November 18,1996, enter on line 3:

AND your annuity starting date was—

Table for Line 3 Above

pension or annuity payments received in 1997 on Form 1040A,line 11a.

Do this even if the Form 1099-R shows a taxableamount. The payer of the annuity cannot add thedeath benefit exclusion to your cost when figuring thetaxable amount.

Special rules apply if you are the survivor under ajoint and survivor’s annuity. For details, see Pub. 575.Rollovers. A rollover is a tax-free distribution of cashor other assets from one retirement plan that iscontributed to another plan. Use lines 11a and 11b toreport a rollover, including a direct rollover, from onequalified employer’s plan to another or to an IRA orSEP.

Enter on line 11a the total distribution before incometax or other deductions were withheld. This amountshould be shown in box 1 of Form 1099-R. From thetotal on line 11a, subtract any contributions (usuallyshown in box 5) that were taxable to you when made.From that result, subtract the amount that was rolledover either directly or within 60 days of receiving thedistribution. Enter the remaining amount, even if zero,on line 11b. Print “ROLLOVER” next to line 11b.

Special rules apply to partial rollovers of property.For more details on rollovers, including distributionsunder qualified domestic relations orders, see Pub.575.Lump-Sum Distributions. If you received a lump-sumdistribution from a profit-sharing or retirement plan,your Form 1099-R should have the “Total distribution”box in box 2b checked. Enter the total distribution online 11a and the taxable part on line 11b.

You may be able to pay less tax on thedistribution if you were at least age 591⁄2on the date of the distribution, you meetcertain other conditions, and you chooseto use Form 4972 to figure the tax on anypart of the distribution. You may also beable to use Form 4972 if you are thebeneficiary of a deceased employee whowas either age 591⁄2 or older on the date ofdeath or was born before 1936. But youmust use Form 1040 to do so. For details,see Form 4972.

You must use Form 1040 if you owe additional taxbecause you received an early distribution from aqualified retirement plan and the total amount was notrolled over. See Pub. 575 to find out if you owe thistax.

Line 12

Unemployment Compensation

You should receive a Form 1099-G showing the totalunemployment compensation paid to you in 1997.

If you received an overpayment of unemploymentcompensation in 1997 and you repaid any of it in1997, subtract the amount you repaid from the totalamount you received. Enter the result on line 12. Also,print “REPAID” and the amount you repaid in thespace to the left of line 12. If you repaid

unemployment compensation in 1997 that youincluded in gross income in an earlier year, you candeduct the amount repaid. But you must use Form1040 to do so. See Pub. 525 for details.Note: If you received Alaska Permanent Funddividends, report them on line 12.

Lines 13a and 13b

Social Security Benefits

You should receive a Form SSA-1099 showing in box3 the total social security benefits paid to you. Box 4will show the amount of any benefits you repaid in1997. If you received railroad retirement benefitstreated as social security, you should receive a FormRRB-1099.

To find out if any of your benefits are taxable, firstcomplete Form 1040A, line 15, if it applies to you.Then, complete the worksheet on page 22. However,do not use the worksheet if any of the following apply.● You made IRA contributions for 1997 and you

were covered by a retirement plan at work.Instead, use the worksheets in Pub. 590 to see ifany of your social security benefits are taxable andto figure your IRA deduction.

● You file Form 8815 or you excludeemployer-provided adoption benefits. Instead, usethe worksheet in Pub. 915.

● You repaid any benefits in 1997 and your totalrepayments (box 4) were more than your totalbenefits for 1997 (box 3). None of your benefitsare taxable for 1997. In addition, you may be ableto take an itemized deduction for part of theexcess repayments if they were for benefits youincluded in gross income in an earlier year. But youmust use Form 1040 to do so. See Pub. 915.

Line 15

IRA Deduction

You can make contributions to your IRAeven if you cannot deduct them. But youmust use Form 8606 to report thesenondeductible contributions.

If you made contributions to an individual retirementarrangement (IRA) for 1997, you may be able to takean IRA deduction. But you must have had earnedincome to do so. You should receive a statement byJune 1, 1998, that shows all contributions to your IRAfor 1997. Use the worksheet on page 23 to figure theamount, if any, of your IRA deduction. But read thefollowing list before you fill in the worksheet.● If you were age 701⁄2 or older at the end of 1997,

you cannot deduct any contributions made to yourIRA for 1997 or treat them as nondeductiblecontributions.

● You cannot deduct contributions to a 401(k) plan,SIMPLE plan, or the Federal Thrift Savings Plan.


These amounts are not included as income in box1 of your W-2 form.

● You must file a joint return to deduct contributionsto your spouse’s IRA. Enter the total IRA deductionfor you and your spouse on line 15.

● If you made contributions to your IRA in 1997 thatyou deducted for 1996, do not include them in theworksheet.

● If you received a distribution from a nonqualifieddeferred compensation plan or section 457 planthat is included in box 1 of your W-2 form, do notinclude that distribution on line 6 of the worksheet.The distribution should be shown in box 11 of yourW-2 form.

● Do not include rollover contributions in figuringyour deduction. Instead, see the instructions forlines 10a and 10b on page 19.

● Do not include trustee’s fees that were billedseparately and paid by you for your IRA. You maybe able to deduct those fees as an itemizeddeduction. But you must use Form 1040 to do so.

● If the total of your IRA deduction on Form 1040Aplus any nondeductible contribution on your

Form 8606 is less than your total IRA contributionsfor 1997, see Pub. 590 for special rules.

By April 1 of the year after the year inwhich you reach age 701⁄2, you must starttaking minimum required distributions fromyour IRA. If you do not, you mayhave to pay a 50% additional tax on theamount that should have been distributed.For details, including how to figure theminimum required distribution, see Pub.590.

You must use Form 1040 if you owe tax on anyexcess contributions made to an IRA, or any excessaccumulations in an IRA. For details, see Pub. 590.Were You Covered by an Employer RetirementPlan? If you were covered by a plan at work, your IRAdeduction may be reduced or eliminated. But you canstill make contributions to an IRA even if you cannotdeduct them. In any case, the income earned on yourIRA contributions is not taxed until it is paid to you.The “Pension plan” box in box 15 of your W-2 formshould be checked if you were covered by a plan(such as a 401(k) or SIMPLE plan). This box should bechecked even if you were not vested in the plan.

Social Security Benefits Worksheet—Lines 13a and 13b (keep for your records)

1. Enter the total amount from box 5 of all your Forms SSA-1099 and Forms RRB-1099Note: If line 1 is zero or less, stop; none of your social secur ity benefits are taxable. Otherwise,go to line 2.

Enter one-half of line 12.3. Add the amounts on Form 1040A, lines 7, 8a, 9, 10b, 11b, and 12. Do not include amounts from

box 5 of Forms SSA-1099 or RRB-1099

5. Add lines 2, 3, and 4Enter the amount, if any, from Form 1040A, line 156.Subtract line 6 from line 57.

8.

9. Subtract line 8 from line 7. If zero or less, enter 0

No. Stop; none of your social security benefits are taxable. Do not enter any amount on line 13a or 13bof Form 1040A. But if you are married filing separately and you lived apart from your spouse for allof 1997, enter 0 on line 13b. Be sure to print “D” to the right of the word “benefits” on line 13a.

10. Enter 9,000 (12,000 if married filing jointly; 0 if married filing separately and you lived with your spouseat any time during 1997)

If you are married filing separately and you lived apartfrom your spouse for all of 1997, print “D” in the space to

Enter 25,000 (32,000 if married filing jointly; 0 if married filing separately and you lived with your spouseat any time during 1997)

1.

2.

3.

5.6.7.

8.9.

10.

4. Enter the amount, if any, from Form 1040A, line 8b 4.

Yes. Go to line 10.

11. Subtract line 10 from line 9. If zero or less, enter 0 11.12. Enter the smaller of line 9 or line 10 12.

Is line 9 more than zero?

If part of your benefits are taxable for 1997 and they include benefits paid in 1997 thatwere for an earlier year, you may be able to reduce the taxable amount shown on theworksheet. See Pub. 915 for details.

15. Multiply line 11 by 85% (.85). If line 11 is zero, enter 0 15.

13. Enter one-half of line 12 13.14. Enter the smaller of line 2 or line 13 14.

16. Add lines 14 and 15 16.17. Multiply line 1 by 85% (.85) 17.18. Taxable social security benefits. Enter the smaller of line 16 or line 17 18.

● Enter the amount from line 1 on Form 1040A, line 13a.● Enter the amount from line 18 on Form 1040A, line 13b.

the right of the word “benefits” on line 13a.

If you were covered by a retirement plan and you fileForm 8815 or you excluded employer-providedadoption benefits, see Pub. 590 to figure the amount,if any, of your IRA deduction.Married Persons Filing Separate Returns. If youwere not covered by a retirement plan but your spousewas, you are considered covered by a plan unless youlived apart from your spouse for all of 1997.

Tax Computation

Line 18aIf you were age 65 or older or blind, check theappropriate boxes on line 18a. If you were married andchecked the box on line 6b of Form 1040A and yourspouse was age 65 or older or blind, also check theappropriate boxes for your spouse. Be sure to enterthe total number of boxes checked in the box providedon line 18a.Age. If you were age 65 or older on January 1, 1998,check the “65 or older” box on your 1997 return.Blindness. If you were completely blind as ofDecember 31, 1997, attach a statement to your returndescribing this condition. If you were partially blind,you must attach a statement certified by your eyedoctor or registered optometrist that:

● You cannot see better than 20/200 in your bettereye with glasses or contact lenses, or

● Your field of vision is 20 degrees or less.If your eye condition is not likely to improve beyond

the conditions listed above, attach a statementcertified by your eye doctor or registered optometristto this effect. Keep a copy of this statement for yourrecords. If you attached this statement in an earlieryear, you do not have to file another one. But youmust attach a note saying that you have already filed astatement.

Line 18bIf you are married filing a separate return and yourspouse itemizes deductions on Form 1040, check thebox on line 18b. You CANNOT take the standarddeduction even if you were age 65 or older or blind(that is, you completed line 18a). Enter zero on line 19and go to line 20.

Your Federal income tax will be less if youtake any itemized deductions that you mayhave, such as state and local incometaxes, but you must use Form 1040 to doso.


IRA Deduction Worksheet—Line 15 (keep for your records)

1.

Enter 35,000 (50,000 if married filing jointly or qualifying widow(er); 10,000 if married filing separately andyou lived with your spouse at any time in 1997)

2.

Enter the amount from Form 1040A, line 14. If this amount is equal to or more than the amount on line2, none of your IRA contributions are deductible. Stop here. For details on nondeductible IRA contributions,see Form 8606

3.

Subtract line 3 from line 2. If the result is $10,000 or more, enter 2,000 on line 5 and go to line 64.

2.

3.

4.

Spouse’sYourDeductible IRA contributions IRAIRA

Enter IRA contributions made, or that will be made by April 15, 1998, for 1997 toyour IRA on line 7a and to your spouse’s IRA on line 7b

7.

On line 8a, enter the smallest of line 5, line 6, or line 7a. On line 8b, enter thesmallest of line 5, line 6, or line 7b. This is the most you can deduct. Add theamounts on lines 8a and 8b and enter the total on Form 1040A, line 15. Or, if youwant, you may deduct a smaller amount and treat the rest as a nondeductiblecontribution (see Form 8606) ©

8.7a.

8a.

Were you, or your spouse if filing jointly, covered by a retirement plan at work (see page 22)?

Multiply line 4 by 20% (.20). If the result is not a multiple of $10, round it up to the next multiple of $10(for example, round $490.20 to $500.00). If the result is $200 or more, enter the result. But if it is lessthan $200, enter 200

5.

5.

Enter the amount from Form 1040A, line 76. 6.

Caution: If marr ied filing jointly and line 6 is less than $4,000, stop here and see Pub. 590 to figure yourIRA deduction.

Yes. Go to line 2.No. Skip lines 2–4, enter 2,000 on line 5, and go to line 6.

Note: Read the list that begins on page 21 before completing.

7b.

8b.

Line 19

Standard Deduction

Most people can find their standard deduction bylooking at line 19 of Form 1040A. But if you checkedany box on line 18a, OR you (or your spouse if filingjointly) can be claimed as a dependent on someone’s1997 return, use the chart or worksheet below thatapplies to you to figure your standard deduction. Also,if you checked the box on line 18b, you cannot takethe standard deduction even if you were age 65 orolder or blind.

Line 22

Taxable Income

If You Want, the IRS Will Figure Your Tax and Someof Your Credits.

Tax. If you have paid too much, we will send you arefund. If you did not pay enough, we will send you abill. For details, including who is eligible and what todo, see Pub. 967.Credit for the Elderly or the Disabled. If you can takethis credit and you want us to figure it for you, see theinstructions for Schedule 3.

Earned Income Credit (EIC). Answer the questions onpage 27 to see if you can take this credit. If you cantake the EIC and you want us to figure it for you,follow the instructions for question 4 or 9, whicheverapplies to you.

Line 23

Tax

Find your tax in the Tax Table on pages 43–48.Form 8615. If this return is for a child who was underage 14 on January 1, 1998, and the child had morethan $1,300 of investment income, such as taxableinterest or dividends, Form 8615 must be used tofigure the tax. But if neither of the child’s parents wasalive at the end of 1997, do not use Form 8615.Instead, use the Tax Table to figure the child’s tax.

Line 24a

Child and Dependent Care Credit

You may be able to take this credit if you paidsomeone to care for your child under age 13 or yourdependent or spouse who could not care for himselfor herself. For details, see the instructions forSchedule 2.

Standard Deduction Chart for People Age 65 or Older or Blind—Line 19If someone can claim you (or your spouse if married filing jointly) as a dependent, use the worksheet below instead.

Caution: Do not use the numberof exemptions from line 6d.

Enter the number from the box online 18a of Form 1040A. ©

AND the number inthe box above is . . .

IF your filingstatus is . . .

THEN enter on Form1040A, line 19 . . .

12

5,1506,150Single

1234

7,7008,5009,300

10,100

Married filing jointlyor

Qualifying widow(er)

1234

4,2505,0505,8506,650

Married filingseparately

7,0508,050

12Head of household

Standard Deduction Worksheet for Dependents—Line 19 (keep for your records)Use this worksheet ONLY if someone can claim you (or your spouse if married filing jointly) as a dependent.

Enter the amount from Form 1040A, line 7. If none, enter 01.650.00Minimum amount2.

Enter the larger of line 1 or line 23.Enter the amount shown below for your filing status:4.● Single, enter 4,150● Married filing separately, enter 3,450● Married filing jointly or Qualifying widow(er), enter 6,900● Head of household, enter 6,050Standard deduction.5.

Enter the smaller of line 3 or line 4. If under 65 and not blind, stop here and enter this amount onForm 1040A, line 19. Otherwise, go to line 5b

a.

If 65 or older or blind, multiply $1,000 ($800 if married filing jointly or separately, or qualifyingwidow(er)) by the number on Form 1040A, line 18a

b.

Add lines 5a and 5b. Enter the total here and on Form 1040A, line 19c.

1.2.3.

4.

5a.

5b.5c.

%

%

Line 24b

Credit for the Elderly or the Disabled

You may be able to take this credit if by the end of1997 (1) you were age 65 or older, or (2) you retired onpermanent and total disability and you had taxabledisability income in 1997.

But you usually cannot take the credit if the amounton Form 1040A, line 17, is $17,500 or more ($20,000 ifmarried filing jointly and only one spouse is eligible forthe credit; $25,000 if married filing jointly and bothspouses are eligible; $12,500 if married filingseparately). See Schedule 3 and its instructions fordetails.

Line 24c

Adoption Credit

You may be able to take this credit if you paidexpenses in 1997 to adopt a child and the adoptionwas final in or before 1997. See Form 8839 for details.

Line 26

Advance Earned Income Credit Payments

If you received advance earned income credit (EIC)payments, enter them on line 26. These paymentsshould be shown in box 9 of your W-2 form(s).

Line 27

Household Employment Taxes

If any of the following apply, see Schedule H and itsinstructions to find out if you owe these taxes.1. You paid any one household employee (defined on

this page) cash wages of $1,000 or more in 1997.

2. You withheld Federal income tax during 1997 atthe request of any household employee.

3. You paid total cash wages of $1,000 or more inany calendar quarter of 1996 or 1997 tohousehold employees.

For purposes of item 1, do not countamounts paid to an employee who wasunder age 18 at any time in 1997 and wasa student.

Household Employee. Any person who doeshousehold work is a household employee if you cancontrol what will be done and how it will be done.Household work includes work done in or around yourhome by babysitters, nannies, health aides, maids,yard workers, and similar domestic workers.

Line 28

Total Tax

If you owe the alternative minimum tax, include thattax in the total on line 28.Alternative Minimum Tax. If both 1 and 2 belowapply to you, use the worksheet below to see if youowe this tax and, if you do, the amount to include online 28.1. The amount on Form 1040A, line 17, plus any

tax-exempt interest on Form 1040A, line 8b, ismore than $45,000 if married filing jointly orqualifying widow(er); more than $33,750 if single orhead of household; more than $22,500 if marriedfiling separately.

2. The amount on Form 1040A, line 21, is $10,600 ormore.

Caution: If filing for a child under age 14, add theamount on Form 1040A, line 17, to the child’stax-exempt interest from private activity bonds issued


Alternative Minimum Tax Worksheet (keep for your records)

1. Enter the amount from Form 1040A, line 17, plus any tax-exempt interest from private activity bondsissued after August 7, 1986

2. Enter the amount shown below for your filing status:

3.

Subtract 75,000 from the amount on line 1. If zero or less, enter 0 here and on line5, and go to line 6

4.

5.6.7.8.9.

Multiply line 4 by 25% (.25)Add lines 3 and 5Multiply line 6 by 26% (.26)Enter the amount from Form 1040A, line 23Alternative minimum tax. If line 8 is equal to or more than line 7, you do not owe this tax. If line 8 isless than line 7, subtract line 8 from line 7 and enter the result. Also, include this amount in the totalon Form 1040A, line 28. Print “AMT” and show the amount to the right of the word “tax” on line 28

1.

2.

3.

4.5.6.7.8.

9.

Subtract line 2 from line 1. If zero or less, stop; you do not owe this tax

● Single or Head of household, enter 33,750● Married filing jointly or Qualifying widow(er), enter 45,000● Married filing separately, enter 22,500

● If you are married filing separately, go to line 4.● All others, enter the amount from line 3 on line 6 and go to line 7.

%

after August 7, 1986. If that total is more than the totalof $1,300 plus the amount on Form 1040A, line 7, donot file this form. Instead, file Form 1040 for the child.Use Form 6251 to see if the child owes this tax.

Line 29a

Federal Income Tax Withheld

Add the amounts shown as Federal income taxwithheld on your Forms W-2 and 1099-R. Enter thetotal on line 29a. The amount of Federal income taxwithheld should be shown in box 2 of Form W-2 andbox 4 of Form 1099-R.

If you received a 1997 Form 1099 showing Federalincome tax withheld on dividends, interest income, orunemployment compensation, include the amountwithheld in the total on line 29a. This should be shownin box 2 of Form 1099-DIV and in box 4 of the other1099 forms. If Federal income tax was withheld fromyour Alaska Permanent Fund dividends, include the taxwithheld in the total on line 29a.

Line 29b

1997 Estimated Tax Payments

Enter any payments you made on your estimatedFederal income tax (Form 1040-ES) for 1997. Includeany overpayment from your 1996 return that youapplied to your 1997 estimated tax.

If you and your spouse paid joint estimated tax butare now filing separate income tax returns, either ofyou can claim all of the amount paid. Or you can eachclaim part of it. See Pub. 505 for details on how toreport your payments. If you or your spouse paidseparate estimated tax but you are now filing a jointincome tax return, add the amounts you each paid.Follow these instructions even if your spouse died in1997 or in 1998 before filing a 1997 return. Also, seePub. 505 if:1. You were divorced in 1997 and you made joint

estimated tax payments with your former spouse,or

2. You changed your name and you made estimatedtax payments using your former name.

Lines 29c and 29d

Earned Income Credit (EIC)

The EIC reduces the tax you owe and may give you arefund even if you do not owe any tax. The credit canbe as much as—● $332 if you do not have a qualifying child (defined

on page 28),

● $2,210 if you have one qualifying child, or● $3,656 if you have more than one qualifying child.

Who Can Take the EIC

Answer the questions on this page to see if you cantake this credit. But you cannot take the credit if anyof the following apply:● Your filing status is married filing separately.

(continued)


2.

4.

3.

Do you have at least one qualifying child (defined on page 28)?

No. Skip to question 5.Yes. Go to question 3.

5.

Can you (or your spouse if filing a joint return) be claimed as a dependent on someone else’s 1997 tax return?

Yes. Stop. You cannot take the credit.No. Go to question 8.

9.

Were you (or your spouse if filing a joint return) at least age 25 but under age 65 at the end of 1997?

No. Stop. You cannot take the credit. Print “NO” directly to the right of line 29c.Yes. Go to question 7.

6.

Is the total of your taxable and nontaxable earned income (see page 29) less than $25,760 (less than $29,290 if you havemore than one qualifying child)? (Nontaxable earned income includes military housing and subsistence, and contributions toa 401(k) plan.)

No. Stop. You cannot take the credit. Print “NO” directly to the right of line 29c.

Yes. Go to question 4.

7.

Is the amount on Form 1040A, line 16, less than $25,760 (less than $29,290 if you have more than one qualifying child)?

Yes. You can take the credit. If you want the IRS to figure it for you, stop. Print “EIC” directly to the right of line 29cand attach Schedule EIC to your return. Also, enter the amount and type of any nontaxable earned income on line 29d.If you want to figure the credit yourself, stop and complete the worksheet on page 28 now.

No. Stop. You cannot take the credit.

8.

Questions To See If You Can Take the Earned Income Credit

Is the amount on Form 1040A, line 16, less than $9,770?

Yes. Go to question 6.No. Stop. You cannot take the credit.

Was your home (and your spouse’s if filing a joint return) in the United States for more than half of 1997?

No. Stop. You cannot take the credit. Print “NO” directly to the right of line 29c.Yes. Go to question 9.

Is the total of your taxable and nontaxable earned income (see page 29) less than $9,770? (Nontaxable earned incomeincludes military housing and subsistence, and contributions to a 401(k) plan.)

No. Stop. You cannot take the credit. Print “NO” directly to the right of line 29c.Yes. You can take the credit. If you want the IRS to figure it for you, print “EIC” directly to the right of line 29c. Also,enter the amount and type of any nontaxable earned income on line 29d. If you want to figure the credit yourself,complete the worksheet on page 28.

All filers:

If you have at least one qualifying child:

If you do not have a qualifying child:

If you were in the military stationed outside the United States, see Special Rules on page 30 before you begin.

1. Is the total of lines 8a, 8b, and 9 on Form 1040A over $2,250?

No. Go to question 2.Yes. Stop. You cannot take the credit.

● You were a nonresident alien for any part of 1997and your filing status is any status except marriedfiling jointly.

● You, or your spouse if filing a joint return, (1) werethe qualifying child of another person in 1997, or(2) do not have a social security number (definedbelow). If you cannot take the credit for either ofthese reasons, print “NO” directly to the right ofline 29c.

Social Security Number (SSN). For purposes of theEIC, an SSN means a number issued by the SocialSecurity Administration to a U.S. citizen or to a personwho has permission from the Immigration andNaturalization Service to work in the United States.

Qualifying Child

A qualifying child is a child who:1. Is your son, daughter, adopted child, grandchild,

stepchild, or foster child, and2. Was (at the end of 1997)—

● under age 19, or● under age 24 and a student (see page 29), or● any age and permanently and totally disabled

(see page 29), and

3. Lived with you in the United States for more thanhalf of 1997 (for all of 1997 if a foster child). If thechild did not live with you for the required time,see the Exception on page 29.

Caution: The child must have an SSN (defined on thispage) unless the child was born and died in 1997.

A child does not always have to be your dependentto qualify. But if the child was married or is also aqualifying child of another person (other than yourspouse if filing a joint return), special rules apply. SeeMarried Child and Qualifying Child of More ThanOne Person on page 29.Example. You are divorced and have a 7-year-old son.Although you had custody of your son, he is claimedas a dependent on his other parent’s 1997 tax return.Your son is your qualifying child because he meetseach of the three requirements listed earlier. Your sonis not a qualifying child of his other parent because hedid not live with the other parent for more than half of1997 and the Exception on page 29 does not apply.

The following explains some of the terms usedearlier.● A foster child is any child you cared for as your

own child. For example, if you acted as the parent

Earned Income Credit Worksheet—Line 29c (keep for your records)

1. Enter the amount from Form 1040A, line 7

4. Enter any nontaxable earned income (see page 29). Types of nontaxable earned income includecontributions to a 401(k) plan, and military housing and subsistence. These should be shown in box 13of your W-2 form

5.Look up the amount on line 5 above in the EIC Table on pages 31–32 to find yourcredit. Enter the credit here

6.

7.8.

9.

Enter the amount from Form 1040A, line 16

Earned income credit.

1.

4.5.

6.

7.

8.

9.

Add lines 3 and 4

● If you checked “Yes” on line 8, enter the amount from line 6.● If you checked “No” on line 8, enter the smaller of line 6 or line 8.

Is line 7 less than—● $5,450 if you do not have a qualifying child?● $11,950 if you have at least one qualifying child?

Yes. Go to line 9 now.No. Look up the amount on line 7 above in the EIC Table on pages 31–32 to

find your credit. Enter the credit here

2.3.

2. If you received a taxable scholarship or fellowship grant that was not reported on a W-2 form, enter thatamount here

3. Subtract line 2 from line 1

Next: Take the amount from line 9 above and enter it on Form 1040A, line 29c.

AND

If you had any nontaxable earned income (see line 4 above), enter the amount and type of thatincome on line 29d.

AND

Complete Schedule EIC and attach it to your return ONLY if you have a qualifying child.

If line 6 is zero, stop. You cannot take the credit. Print “NO” directly to the right ofline 29c of Form 1040A.

Caution: If you were a household employee who did notreceive a Form W-2 because your employer paid you lessthan $1,000 in 1997, see Special Rules on page 30 before

Note: If you included the alternative minimum tax on line28, subtract it from the amount on line 9 above. Then,enter the result (if more than zero) on Form 1040A,

%

completing this worksheet. Also, see Special Rules if Form1040A, line 7, includes any amount paid to an inmate in apenal institution.

line 29c. Also, replace the amount on line 9 above withthe amount entered on Form 1040A, line 29c.

of your niece or nephew, this child is consideredyour foster child.

● A child placed with you by an authorizedplacement agency for legal adoption is an adoptedchild even if the adoption is not final.

● A grandchild is any descendant of your son,daughter, or adopted child. For example, agrandchild includes your great-grandchild,great-great-grandchild, etc.

● A student is a child who during any 5 months of1997—1. Was enrolled as a full-time student at a school,

or2. Took a full-time, on-farm training course. The

course had to be given by a school or a state,county, or local government agency.

A school includes technical, trade, and mechanicalschools. It does not include on-the-job trainingcourses, correspondence schools, or night schools.● A child is permanently and totally disabled if

both of the following apply.1. He or she cannot engage in any substantial

gainful activity because of a physical or mentalcondition.

2. A doctor determines the condition has lastedor can be expected to last continuously for atleast a year or can lead to death.

Exception. The child, including a foster child, isconsidered to have lived with you for all of 1997 ifboth of the following apply.1. The child was born or died in 1997.2. Your home was the child’s home for the entire time

he or she was alive during 1997.Temporary absences, such as for school, vacation,

or medical care, count as time lived at home.Married Child. If your child was married at the end of1997, that child is a qualifying child only if you canclaim him or her as your dependent on Form 1040A,line 6c. But if this child’s other parent claimed him orher as a dependent under the rules on page 17 forChildren of Divorced or Separated Parents, this childis your qualifying child.Qualifying Child of More Than One Person. If a childmeets the conditions to be a qualifying child of morethan one person, only the person who had the highestmodified AGI (adjusted gross income) for 1997 maytreat that child as a qualifying child. The otherperson(s) cannot claim the credit for people who donot have a qualifying child. If the other person is yourspouse and you are filing a joint return, this rule doesnot apply. If you cannot take the credit because of thisrule, print “NO” directly to the right of line 29c.

Example. You and your 5-year-old daughter movedin with your mother in April 1997. You are not aqualifying child of your mother. Your daughter meetsthe conditions to be a qualifying child for both you andyour mother. Your modified AGI for 1997 was $8,000and your mother’s was $14,000. Because your

mother’s modified AGI was higher, your daughter isyour mother’s qualifying child. You cannot take anyEIC, even if your mother does not claim the credit.Taxable Earned Income

This is usually the amount reported on Form 1040A,line 7. But if line 7 includes an amount for a taxablescholarship or fellowship grant that was not reportedon a W-2 form or an amount paid to an inmate in apenal institution, subtract that amount from the totalon line 7. The result is your taxable earned income forpurposes of the earned income credit. If yousubtracted income paid to an inmate, also print “PRI”and the amount subtracted in the space to the left ofline 7 of Form 1040A.

Also, if line 7 of Form 1040A includes any amountpaid to a household employee who did not receive aW-2 form, see Special Rules on page 30.Nontaxable Earned Income

Certain earned income is not taxable, but it must beincluded to see if you can take the earned incomecredit. It is also used to figure the credit. It includesanything of value (money, goods, or services) that isnot taxable which you received from your employer foryour work. Some examples are listed below.● Basic quarters and subsistence allowances, the

value of in-kind quarters and subsistence, andcombat zone excluded pay received from the U.S.military. These amounts should be shown in box13 of your 1997 W-2 form with code Q.

● Housing allowances or rental value of a parsonagefor clergy members.

● Meals and lodging provided for the convenience ofyour employer.

● Voluntary salary deferrals. If you chose to haveyour employer contribute part of your pay tocertain retirement plans (such as a 401(k) plan orthe Federal Thrift Savings Plan) instead of having itpaid to you, the “Deferred compensation” box inbox 15 of your W-2 form should be checked. Theamount deferred should be shown in box 13 ofyour W-2 form.

● Excludable dependent care benefits fromSchedule 2, line 18.

● Excludable employer-provided adoption benefitsfrom Form 8839, line 22.

● Voluntary salary reductions, such as under acafeteria plan, unless they are included in box 1 ofyour W-2 form(s). For details, see Pub. 596.

Nontaxable earned income does notinclude welfare benefits, such as thoselisted below.

Effect of Credit on Certain Welfare Benefits

Any refund you receive as the result of claiming theearned income credit will not be used to determine ifyou are eligible for the following benefit programs, orhow much you can receive from them.

(continued)


● Temporary Assistance for Needy Families (formerlyAid to Families With Dependent Children (AFDC)).

● Medicaid and supplemental security income (SSI).● Food stamps and low-income housing.

Special RulesMembers of the Military. If you were on extendedactive duty outside the United States, your home isconsidered to be in the United States during that dutyperiod. See Pub. 596 for the definition of extendedactive duty.Household Employees. If you were a householdemployee who did not receive a W-2 form because

your employer paid you less than $1,000 in 1997, besure to include the amount you were paid on Form1040A, line 7. Print “HSH” and the amount notreported on a W-2 form in the space to the left ofline 7.Inmates. Amounts paid to inmates in penal institutionsfor their work are not earned income for purposes ofthe EIC. If the total on Form 1040A, line 7, includessuch income, subtract that income from the amount online 7. Enter the result on line 1 of the worksheet onpage 28. Also, print “PRI” and the amount subtractedin the space to the left of line 7 of Form 1040A.

1997 Earned IncomeCredit (EIC) Table

If the amounton line 5 orline 7 of theworksheet is—

Atleast

But lessthan

Twochildren

Your credit is—

Onechild

And you have—

Caution: This is not a tax table.

To find your credit: First, read down the “At least — But less than”columns and find the line that includes the amount you entered online 5 or line 7 of the Earned Income Credit Worksheet on page 28.Next, read across to the column that includes the number of qualifyingchildren you have. Then, enter the credit from that column on line 6or line 8 of that worksheet, whichever applies.

Atleast

But lessthan

Your credit is— Atleast

But lessthan


But lessthan

Your credit is—




Nochildren

Twochildren

Onechild

Nochildren

Twochildren

Onechild

Nochildren

Twochildren

Onechild

Nochildren

And you have— And you have— And you have—

* If the amount on line 5 or line 7 of the worksheet is at least $9,750 but lessthan $9,770, your credit is $1. Otherwise, you cannot take the credit.

$1 $50 $2 $9 $1050 100 6 26 30

100 150 10 43 50150 200 13 60 70

200 250 17 77 90250 300 21 94 110300 350 25 111 130350 400 29 128 150

400 450 33 145 170450 500 36 162 190500 550 40 179 210550 600 44 196 230

600 650 48 213 250650 700 52 230 270700 750 55 247 290750 800 59 264 310

800 850 63 281 330850 900 67 298 350900 950 71 315 370950 1,000 75 332 390

1,000 1,050 78 349 4101,050 1,100 82 366 4301,100 1,150 86 383 4501,150 1,200 90 400 470

1,200 1,250 94 417 4901,250 1,300 98 434 5101,300 1,350 101 451 5301,350 1,400 105 468 550

1,400 1,450 109 485 5701,450 1,500 113 502 5901,500 1,550 117 519 6101,550 1,600 120 536 630

1,600 1,650 124 553 6501,650 1,700 128 570 6701,700 1,750 132 587 6901,750 1,800 136 604 710

1,800 1,850 140 621 7301,850 1,900 143 638 7501,900 1,950 147 655 7701,950 2,000 151 672 790

2,000 2,050 155 689 8102,050 2,100 159 706 8302,100 2,150 163 723 8502,150 2,200 166 740 870

2,200 2,250 170 757 8902,250 2,300 174 774 9102,300 2,350 178 791 9302,350 2,400 182 808 950

2,400 2,450 186 825 9702,450 2,500 189 842 9902,500 2,550 193 859 1,0102,550 2,600 197 876 1,030

2,600 2,650 201 893 1,0502,650 2,700 205 910 1,0702,700 2,750 208 927 1,0902,750 2,800 212 944 1,110

2,800 2,850 216 961 1,1302,850 2,900 220 978 1,1502,900 2,950 224 995 1,1702,950 3,000 228 1,012 1,190

3,000 3,050 231 1,029 1,2103,050 3,100 235 1,046 1,2303,100 3,150 239 1,063 1,2503,150 3,200 243 1,080 1,270

3,200 3,250 247 1,097 1,2903,250 3,300 251 1,114 1,3103,300 3,350 254 1,131 1,3303,350 3,400 258 1,148 1,350

3,400 3,450 262 1,165 1,3703,450 3,500 266 1,182 1,3903,500 3,550 270 1,199 1,4103,550 3,600 273 1,216 1,430

3,600 3,650 277 1,233 1,4503,650 3,700 281 1,250 1,4703,700 3,750 285 1,267 1,4903,750 3,800 289 1,284 1,510

3,800 3,850 293 1,301 1,5303,850 3,900 296 1,318 1,5503,900 3,950 300 1,335 1,5703,950 4,000 304 1,352 1,590

4,000 4,050 308 1,369 1,6104,050 4,100 312 1,386 1,6304,100 4,150 316 1,403 1,6504,150 4,200 319 1,420 1,670

4,200 4,250 323 1,437 1,6904,250 4,300 327 1,454 1,7104,300 4,350 332 1,471 1,7304,350 4,400 332 1,488 1,750

4,400 4,450 332 1,505 1,7704,450 4,500 332 1,522 1,7904,500 4,550 332 1,539 1,8104,550 4,600 332 1,556 1,830

4,600 4,650 332 1,573 1,8504,650 4,700 332 1,590 1,8704,700 4,750 332 1,607 1,8904,750 4,800 332 1,624 1,910

4,800 4,850 332 1,641 1,9304,850 4,900 332 1,658 1,9504,900 4,950 332 1,675 1,9704,950 5,000 332 1,692 1,990

5,000 5,050 332 1,709 2,0105,050 5,100 332 1,726 2,0305,100 5,150 332 1,743 2,0505,150 5,200 332 1,760 2,070

5,200 5,250 332 1,777 2,0905,250 5,300 332 1,794 2,1105,300 5,350 332 1,811 2,1305,350 5,400 332 1,828 2,150

5,400 5,450 332 1,845 2,1705,450 5,500 329 1,862 2,1905,500 5,550 325 1,879 2,2105,550 5,600 321 1,896 2,230

5,600 5,650 317 1,913 2,2505,650 5,700 313 1,930 2,2705,700 5,750 309 1,947 2,2905,750 5,800 306 1,964 2,310

5,800 5,850 302 1,981 2,3305,850 5,900 298 1,998 2,3505,900 5,950 294 2,015 2,3705,950 6,000 290 2,032 2,390

6,000 6,050 286 2,049 2,4106,050 6,100 283 2,066 2,4306,100 6,150 279 2,083 2,4506,150 6,200 275 2,100 2,470

6,200 6,250 271 2,117 2,4906,250 6,300 267 2,134 2,5106,300 6,350 264 2,151 2,5306,350 6,400 260 2,168 2,550

6,400 6,450 256 2,185 2,5706,450 6,500 252 2,202 2,5906,500 6,550 248 2,210 2,6106,550 6,600 244 2,210 2,630

6,600 6,650 241 2,210 2,6506,650 6,700 237 2,210 2,6706,700 6,750 233 2,210 2,6906,750 6,800 229 2,210 2,710

6,800 6,850 225 2,210 2,7306,850 6,900 221 2,210 2,7506,900 6,950 218 2,210 2,7706,950 7,000 214 2,210 2,790

7,000 7,050 210 2,210 2,8107,050 7,100 206 2,210 2,8307,100 7,150 202 2,210 2,8507,150 7,200 199 2,210 2,870

7,200 7,250 195 2,210 2,8907,250 7,300 191 2,210 2,9107,300 7,350 187 2,210 2,9307,350 7,400 183 2,210 2,950

7,400 7,450 179 2,210 2,9707,450 7,500 176 2,210 2,9907,500 7,550 172 2,210 3,0107,550 7,600 168 2,210 3,030

7,600 7,650 164 2,210 3,0507,650 7,700 160 2,210 3,0707,700 7,750 156 2,210 3,0907,750 7,800 153 2,210 3,110

7,800 7,850 149 2,210 3,1307,850 7,900 145 2,210 3,1507,900 7,950 141 2,210 3,1707,950 8,000 137 2,210 3,190

8,000 8,050 133 2,210 3,2108,050 8,100 130 2,210 3,2308,100 8,150 126 2,210 3,2508,150 8,200 122 2,210 3,270

8,200 8,250 118 2,210 3,2908,250 8,300 114 2,210 3,3108,300 8,350 111 2,210 3,3308,350 8,400 107 2,210 3,350

8,400 8,450 103 2,210 3,3708,450 8,500 99 2,210 3,3908,500 8,550 95 2,210 3,4108,550 8,600 91 2,210 3,430

8,600 8,650 88 2,210 3,4508,650 8,700 84 2,210 3,4708,700 8,750 80 2,210 3,4908,750 8,800 76 2,210 3,510

8,800 8,850 72 2,210 3,5308,850 8,900 68 2,210 3,5508,900 8,950 65 2,210 3,5708,950 9,000 61 2,210 3,590

9,000 9,050 57 2,210 3,6109,050 9,100 53 2,210 3,6309,100 9,150 49 2,210 3,6569,150 9,200 46 2,210 3,656

9,200 9,250 42 2,210 3,6569,250 9,300 38 2,210 3,6569,300 9,350 34 2,210 3,6569,350 9,400 30 2,210 3,656

9,400 9,450 26 2,210 3,6569,450 9,500 23 2,210 3,6569,500 9,550 19 2,210 3,6569,550 9,600 15 2,210 3,656

9,600 9,650 11 2,210 3,6569,650 9,700 7 2,210 3,6569,700 9,750 3 2,210 3,6569,750 9,800 * 2,210 3,656

9,800 11,950 0 2,210 3,65611,950 12,000 0 2,203 3,64712,000 12,050 0 2,195 3,63612,050 12,100 0 2,187 3,625

12,100 12,150 0 2,179 3,61512,150 12,200 0 2,171 3,60412,200 12,250 0 2,163 3,59412,250 12,300 0 2,155 3,583

12,300 12,350 0 2,147 3,57312,350 12,400 0 2,139 3,56212,400 12,450 0 2,131 3,55212,450 12,500 0 2,123 3,541

12,500 12,550 0 2,115 3,53112,550 12,600 0 2,107 3,52012,600 12,650 0 2,099 3,51012,650 12,700 0 2,091 3,499

12,700 12,750 0 2,083 3,48912,750 12,800 0 2,075 3,47812,800 12,850 0 2,067 3,46812,850 12,900 0 2,059 3,457

12,900 12,950 0 2,051 3,44612,950 13,000 0 2,043 3,43613,000 13,050 0 2,035 3,42513,050 13,100 0 2,027 3,415

13,100 13,150 0 2,019 3,40413,150 13,200 0 2,011 3,39413,200 13,250 0 2,003 3,38313,250 13,300 0 1,995 3,373

13,300 13,350 0 1,987 3,36213,350 13,400 0 1,979 3,35213,400 13,450 0 1,971 3,34113,450 13,500 0 1,963 3,331

13,500 13,550 0 1,955 3,32013,550 13,600 0 1,947 3,31013,600 13,650 0 1,939 3,29913,650 13,700 0 1,931 3,289

13,700 13,750 0 1,923 3,27813,750 13,800 0 1,915 3,26713,800 13,850 0 1,907 3,25713,850 13,900 0 1,899 3,246

13,900 13,950 0 1,891 3,23613,950 14,000 0 1,883 3,22514,000 14,050 0 1,875 3,21514,050 14,100 0 1,867 3,204

14,100 14,150 0 1,859 3,19414,150 14,200 0 1,851 3,18314,200 14,250 0 1,843 3,17314,250 14,300 0 1,835 3,162

14,300 14,350 0 1,827 3,15214,350 14,400 0 1,819 3,14114,400 14,450 0 1,811 3,13114,450 14,500 0 1,803 3,120

14,500 14,550 0 1,795 3,10914,550 14,600 0 1,787 3,09914,600 14,650 0 1,779 3,08814,650 14,700 0 1,771 3,078

14,700 14,750 0 1,763 3,06714,750 14,800 0 1,755 3,05714,800 14,850 0 1,747 3,04614,850 14,900 0 1,739 3,036

(continued)


Atleast

But lessthan

Twochildren

Your credit is—

Onechild

And you have—

Atleast

But lessthan


But lessthan


But lessthan

Your credit is—

Nochildren

Twochildren

Onechild

Nochildren

Twochildren

Onechild

Nochildren

Twochildren

Onechild

Nochildren

1997 Earned Income Credit (EIC) Table Continued (Caution: This is not a tax table.)And you have— And you have— And you have—

**If the amount on line 5 or line 7 of the worksheet is at least $25,750 but lessthan $25,760, your credit is $1. Otherwise, you cannot take the credit.

14,900 14,950 0 1,731 3,02514,950 15,000 0 1,723 3,01515,000 15,050 0 1,715 3,00415,050 15,100 0 1,707 2,99415,100 15,150 0 1,699 2,98315,150 15,200 0 1,691 2,97315,200 15,250 0 1,683 2,96215,250 15,300 0 1,675 2,95215,300 15,350 0 1,667 2,94115,350 15,400 0 1,659 2,93015,400 15,450 0 1,651 2,92015,450 15,500 0 1,644 2,90915,500 15,550 0 1,636 2,89915,550 15,600 0 1,628 2,88815,600 15,650 0 1,620 2,87815,650 15,700 0 1,612 2,86715,700 15,750 0 1,604 2,85715,750 15,800 0 1,596 2,84615,800 15,850 0 1,588 2,83615,850 15,900 0 1,580 2,82515,900 15,950 0 1,572 2,81515,950 16,000 0 1,564 2,80416,000 16,050 0 1,556 2,79416,050 16,100 0 1,548 2,78316,100 16,150 0 1,540 2,77316,150 16,200 0 1,532 2,76216,200 16,250 0 1,524 2,75116,250 16,300 0 1,516 2,74116,300 16,350 0 1,508 2,73016,350 16,400 0 1,500 2,72016,400 16,450 0 1,492 2,70916,450 16,500 0 1,484 2,69916,500 16,550 0 1,476 2,68816,550 16,600 0 1,468 2,67816,600 16,650 0 1,460 2,66716,650 16,700 0 1,452 2,65716,700 16,750 0 1,444 2,64616,750 16,800 0 1,436 2,63616,800 16,850 0 1,428 2,62516,850 16,900 0 1,420 2,61516,900 16,950 0 1,412 2,60416,950 17,000 0 1,404 2,59417,000 17,050 0 1,396 2,58317,050 17,100 0 1,388 2,57217,100 17,150 0 1,380 2,56217,150 17,200 0 1,372 2,55117,200 17,250 0 1,364 2,54117,250 17,300 0 1,356 2,53017,300 17,350 0 1,348 2,52017,350 17,400 0 1,340 2,50917,400 17,450 0 1,332 2,49917,450 17,500 0 1,324 2,48817,500 17,550 0 1,316 2,47817,550 17,600 0 1,308 2,46717,600 17,650 0 1,300 2,45717,650 17,700 0 1,292 2,44617,700 17,750 0 1,284 2,43617,750 17,800 0 1,276 2,42517,800 17,850 0 1,268 2,41517,850 17,900 0 1,260 2,40417,900 17,950 0 1,252 2,39317,950 18,000 0 1,244 2,38318,000 18,050 0 1,236 2,37218,050 18,100 0 1,228 2,36218,100 18,150 0 1,220 2,35118,150 18,200 0 1,212 2,34118,200 18,250 0 1,204 2,33018,250 18,300 0 1,196 2,32018,300 18,350 0 1,188 2,30918,350 18,400 0 1,180 2,29918,400 18,450 0 1,172 2,28818,450 18,500 0 1,164 2,27818,500 18,550 0 1,156 2,26718,550 18,600 0 1,148 2,25718,600 18,650 0 1,140 2,24618,650 18,700 0 1,132 2,236

18,700 18,750 0 1,124 2,22518,750 18,800 0 1,116 2,21418,800 18,850 0 1,108 2,20418,850 18,900 0 1,100 2,19318,900 18,950 0 1,092 2,18318,950 19,000 0 1,084 2,17219,000 19,050 0 1,076 2,16219,050 19,100 0 1,068 2,15119,100 19,150 0 1,060 2,14119,150 19,200 0 1,052 2,13019,200 19,250 0 1,044 2,12019,250 19,300 0 1,036 2,10919,300 19,350 0 1,028 2,09919,350 19,400 0 1,020 2,08819,400 19,450 0 1,012 2,07819,450 19,500 0 1,004 2,06719,500 19,550 0 996 2,05619,550 19,600 0 988 2,04619,600 19,650 0 980 2,03519,650 19,700 0 972 2,02519,700 19,750 0 964 2,01419,750 19,800 0 956 2,00419,800 19,850 0 948 1,99319,850 19,900 0 940 1,98319,900 19,950 0 932 1,97219,950 20,000 0 924 1,96220,000 20,050 0 916 1,95120,050 20,100 0 908 1,94120,100 20,150 0 900 1,93020,150 20,200 0 892 1,92020,200 20,250 0 884 1,90920,250 20,300 0 876 1,89920,300 20,350 0 868 1,88820,350 20,400 0 860 1,87720,400 20,450 0 852 1,86720,450 20,500 0 845 1,85620,500 20,550 0 837 1,84620,550 20,600 0 829 1,83520,600 20,650 0 821 1,82520,650 20,700 0 813 1,81420,700 20,750 0 805 1,80420,750 20,800 0 797 1,79320,800 20,850 0 789 1,78320,850 20,900 0 781 1,77220,900 20,950 0 773 1,76220,950 21,000 0 765 1,75121,000 21,050 0 757 1,74121,050 21,100 0 749 1,73021,100 21,150 0 741 1,72021,150 21,200 0 733 1,70921,200 21,250 0 725 1,69821,250 21,300 0 717 1,68821,300 21,350 0 709 1,67721,350 21,400 0 701 1,66721,400 21,450 0 693 1,65621,450 21,500 0 685 1,64621,500 21,550 0 677 1,63521,550 21,600 0 669 1,62521,600 21,650 0 661 1,61421,650 21,700 0 653 1,60421,700 21,750 0 645 1,59321,750 21,800 0 637 1,58321,800 21,850 0 629 1,57221,850 21,900 0 621 1,56221,900 21,950 0 613 1,55121,950 22,000 0 605 1,54122,000 22,050 0 597 1,53022,050 22,100 0 589 1,51922,100 22,150 0 581 1,50922,150 22,200 0 573 1,49822,200 22,250 0 565 1,48822,250 22,300 0 557 1,47722,300 22,350 0 549 1,46722,350 22,400 0 541 1,45622,400 22,450 0 533 1,44622,450 22,500 0 525 1,435

22,500 22,550 0 517 1,42522,550 22,600 0 509 1,41422,600 22,650 0 501 1,40422,650 22,700 0 493 1,39322,700 22,750 0 485 1,38322,750 22,800 0 477 1,37222,800 22,850 0 469 1,36222,850 22,900 0 461 1,35122,900 22,950 0 453 1,34022,950 23,000 0 445 1,33023,000 23,050 0 437 1,31923,050 23,100 0 429 1,30923,100 23,150 0 421 1,29823,150 23,200 0 413 1,28823,200 23,250 0 405 1,27723,250 23,300 0 397 1,26723,300 23,350 0 389 1,25623,350 23,400 0 381 1,24623,400 23,450 0 373 1,23523,450 23,500 0 365 1,22523,500 23,550 0 357 1,21423,550 23,600 0 349 1,20423,600 23,650 0 341 1,19323,650 23,700 0 333 1,18323,700 23,750 0 325 1,17223,750 23,800 0 317 1,16123,800 23,850 0 309 1,15123,850 23,900 0 301 1,14023,900 23,950 0 293 1,13023,950 24,000 0 285 1,11924,000 24,050 0 277 1,10924,050 24,100 0 269 1,09824,100 24,150 0 261 1,08824,150 24,200 0 253 1,07724,200 24,250 0 245 1,06724,250 24,300 0 237 1,05624,300 24,350 0 229 1,04624,350 24,400 0 221 1,03524,400 24,450 0 213 1,02524,450 24,500 0 205 1,01424,500 24,550 0 197 1,00324,550 24,600 0 189 99324,600 24,650 0 181 98224,650 24,700 0 173 97224,700 24,750 0 165 96124,750 24,800 0 157 95124,800 24,850 0 149 94024,850 24,900 0 141 93024,900 24,950 0 133 91924,950 25,000 0 125 90925,000 25,050 0 117 89825,050 25,100 0 109 88825,100 25,150 0 101 87725,150 25,200 0 93 86725,200 25,250 0 85 85625,250 25,300 0 77 84625,300 25,350 0 69 83525,350 25,400 0 61 82425,400 25,450 0 53 81425,450 25,500 0 46 80325,500 25,550 0 38 79325,550 25,600 0 30 78225,600 25,650 0 22 77225,650 25,700 0 14 76125,700 25,750 0 6 75125,750 25,800 0 ** 74025,800 25,850 0 0 73025,850 25,900 0 0 71925,900 25,950 0 0 70925,950 26,000 0 0 69826,000 26,050 0 0 68826,050 26,100 0 0 67726,100 26,150 0 0 66726,150 26,200 0 0 65626,200 26,250 0 0 64526,250 26,300 0 0 635

26,300 26,350 0 0 62426,350 26,400 0 0 61426,400 26,450 0 0 60326,450 26,500 0 0 59326,500 26,550 0 0 58226,550 26,600 0 0 57226,600 26,650 0 0 56126,650 26,700 0 0 55126,700 26,750 0 0 54026,750 26,800 0 0 53026,800 26,850 0 0 51926,850 26,900 0 0 50926,900 26,950 0 0 49826,950 27,000 0 0 48827,000 27,050 0 0 47727,050 27,100 0 0 46627,100 27,150 0 0 45627,150 27,200 0 0 44527,200 27,250 0 0 43527,250 27,300 0 0 42427,300 27,350 0 0 41427,350 27,400 0 0 40327,400 27,450 0 0 39327,450 27,500 0 0 38227,500 27,550 0 0 37227,550 27,600 0 0 36127,600 27,650 0 0 35127,650 27,700 0 0 34027,700 27,750 0 0 33027,750 27,800 0 0 31927,800 27,850 0 0 30927,850 27,900 0 0 29827,900 27,950 0 0 28727,950 28,000 0 0 27728,000 28,050 0 0 26628,050 28,100 0 0 25628,100 28,150 0 0 24528,150 28,200 0 0 23528,200 28,250 0 0 22428,250 28,300 0 0 21428,300 28,350 0 0 20328,350 28,400 0 0 19328,400 28,450 0 0 18228,450 28,500 0 0 17228,500 28,550 0 0 16128,550 28,600 0 0 15128,600 28,650 0 0 14028,650 28,700 0 0 13028,700 28,750 0 0 11928,750 28,800 0 0 10828,800 28,850 0 0 9828,850 28,900 0 0 8728,900 28,950 0 0 7728,950 29,000 0 0 6629,000 29,050 0 0 5629,050 29,100 0 0 4529,100 29,150 0 0 3529,150 29,200 0 0 2429,200 29,250 0 0 1429,250 29,290 0 0 429,290 or more 0 0 0




Line 29eAdd lines 29a, 29b, and 29c. Enter the total on line29e. Also, include in the total on line 29e any of thefollowing that apply.Amount Paid With Extension of Time To File. If youfiled Form 4868 to get an automatic extension of timeto file, include in the total on line 29e any amount youpaid with that form. To the left of line 29e, print“FORM 4868” and show the amount paid. Also,include any amount paid with Form 2688 if you filedfor an additional extension.Excess Social Security and Railroad Retirement(RRTA) Taxes Withheld. If you had more than oneemployer for 1997 and your total wages were over$65,400, too much social security tax may have beenwithheld. If you had more than one railroad employerfor 1997 and your total compensation was over$48,600, too much RRTA tax may have been withheld.For more details, including how to figure the amount toinclude on line 29e, see Pub. 505.

Refund or Amount You Owe

Line 30

Amount Overpaid

If line 30 is under $1, we will send the refund only ifyou request it when you file your return.

If the amount you overpaid is large, youmay want to decrease the amount ofincome tax withheld from your pay. SeeIncome Tax Withholding and EstimatedTax Payments for 1998 on page 35.

Injured Spouse Claim. If you file a joint return andyour spouse has not paid child or spousal supportpayments or certain Federal debts such as studentloans, all or part of the overpayment on line 30 may beused to pay the past-due amount. But your part of theoverpayment may be refunded to you if certainconditions apply and you complete and attach Form8379. For details, use TeleTax topic 203 (see page 40)or see Form 8379. If you file Form 8379, you cannotrequest direct deposit.

Lines 31b Through 31d

Direct Deposit of Refund

Complete lines 31b through 31d if you want us todirectly deposit the amount shown on line 31a intoyour account at a bank or other financial institution(such as a mutual fund, brokerage firm, or credit union)instead of sending you a check.

Why Use Direct Deposit?● You get your refund fast—even faster if you e-file!● Payment is more secure—there is no check to get

lost.

● More convenient. No trip to the bank to deposityour check.

● Saves tax dollars. A refund by direct deposit costsless than a check.

You can check with your financialinstitution to make sure your direct depositwill be accepted and to get the correctrouting number and account number.

Line 31b. The routing number must be nine digits. Ifthe first two digits are not 01 through 12 or 21 through32, the direct deposit will be rejected and a check sentinstead. On the sample check below, the routingnumber is 250250025.

Your check may state that it is payable through abank different from the financial institution at whichyou have your checking account. If so, do not use therouting number on that check. Instead, contact yourfinancial institution for the correct routing number toenter on this line.Line 31d. The account number can be up to 17characters (both numbers and letters). Include hyphensbut omit spaces and special symbols. Enter thenumber from left to right and leave any unused boxesblank. On the sample check below, the accountnumber is 20202086. Be sure not to include the checknumber.Caution: Some financial institutions will not allow ajoint refund to be deposited into an individual account.The IRS is not responsible if a financial institutionrefuses a direct deposit.

SAMPLE

Paul MapleDeborah Maple1234 Windy Oaks DriveAnytown, MD 20000

123415-0000/0000

PAY TO THEORDER OF

19

$

DOLLARS

ANYTOWN BANKAnytown, MD 20000

For

|:250250025|:202020"’86". 1234

Routingnumber(line 31b)

Accountnumber(line 31d) Do not

includethe checknumber

¶

¶

Note: The routing and account numbers may appear indifferent places on your check.

Line 32

Amount Applied to 1998 Estimated Tax

Enter on line 32 the amount, if any, of the overpaymenton line 30 you want applied to your estimated tax for1998. We will apply this amount to your accountunless you attach a statement requesting us to apply itto your spouse’s account. Include your spouse’s socialsecurity number. This election to apply part or all ofthe amount overpaid to your 1998 estimated taxcannot be changed later.


Line 33

Amount You Owe

You do not have to pay if line 33 is under$1.

Include any estimated tax penalty from line 34 in theamount you enter on line 33. Enclose in the envelopewith your return a check or money order payable tothe “Internal Revenue Service” (not “IRS”) for the fullamount when you file. Do not send cash. Do notattach the payment to your return. Write “1997 Form1040A” and your name, address, daytime phonenumber, and social security number (SSN) on yourpayment. If you are filing a joint return, enter the SSNshown first on your tax return.

Do not include any estimated tax payment in yourcheck or money order. Mail any estimated tax paymentin an envelope separate from the one you use to paythe tax due on Form 1040A.

If you owe tax for 1997, you may need to(a) increase the amount of income taxwithheld from your pay or (b) makeestimated tax payments for 1998. SeeIncome Tax Withholding and EstimatedTax Payments for 1998 on page 35.

Installment Payments

If you cannot pay the full amount shown on line 33with your return, you may ask to make monthlyinstallment payments. However, you will be chargedinterest and may be charged a late payment penaltyon the tax not paid by April 15, 1998, even if yourrequest to pay in installments is granted. You mustalso pay a fee. To limit the interest and penaltycharges, pay as much of the tax as possible when youfile. But before requesting an installment agreement,you should consider other less costly alternatives, suchas a bank loan.

To ask for an installment agreement, use Form9465. You should receive a response to your requestfor installments within 30 days. But if you file yourreturn after March 31, it may take us longer to reply.

Line 34

Estimated Tax Penalty

You may owe this penalty if:● Line 33 (minus line 27) is at least $500 and it is

more than 10% of the tax shown on your return, or● You did not pay enough estimated tax by any of

the due dates. This is true even if you are due arefund.

The “tax shown on your return” is the amount on line28 minus the total of any amounts shown on lines 27and 29c.Exceptions to the Penalty. You will not owe thepenalty if your 1996 tax return was for a tax year of 12full months AND either of the following applies:1. You had no tax liability for 1996 and you were a

U.S. citizen or resident for all of 1996, or

2. The total of lines 29a and 29b on your 1997 returnis at least as much as the tax liability shown onyour 1996 return. Your estimated tax payments for1997 must have been made on time and for therequired amount.

Caution: If your 1997 filing status is married filingseparately and your 1996 adjusted gross income wasover $75,000, item 2 above may not apply. For details,see Form 2210 and its instructions.Figuring the Penalty. If the Exceptions above do notapply and you choose to figure the penalty yourself,see Form 2210 to find out if you owe the penalty. Ifso, you can use the form to figure the amount. Incertain situations, you may be able to lower yourpenalty. For details, see the Instructions for Form2210. Enter the penalty on Form 1040A, line 34. Addthe penalty to any tax due and enter the total on line33. If you are due a refund, subtract the penalty fromthe overpayment you show on line 30. Do not fileForm 2210 with your return unless Form 2210indicates that you must do so. Instead, keep it for yourrecords.

Because Form 2210 is complicated, if youwant to you can leave line 34 blank andthe IRS will figure the penalty and sendyou a bill. We will not charge you intereston the penalty if you pay by the datespecified on the bill.

Sign Your ReturnForm 1040A is not considered a valid return unless yousign it. If you are filing a joint return, your spouse mustalso sign. Be sure to date your return and enter youroccupation(s). If you are filing a joint return as asurviving spouse, see What if a Taxpayer Died? onpage 8.Child’s Return. If your child cannot sign the return,either parent can sign the child’s name in the spaceprovided. Then, add “By (your signature), parent forminor child.”Paid Preparers Must Sign Your Return. Generally,anyone you pay to prepare your return must sign it byhand in the space provided. Signature stamps or labelscannot be used. The preparer must give you a copy ofthe return for your records. Someone who preparesyour return but does not charge you should not signyour return.

Attach Required Forms and SchedulesAttach the first copy or Copy B of Form(s) W-2 to thefront of Form 1040A. Attach all other schedules andforms behind Form 1040A in order by number. If youare filing Schedule EIC, put it last. Do not attach itemsunless required to do so.

If you received a 1997 Form 1099-Rshowing Federal income tax withheld, alsoattach the first copy or Copy B of thatform to the front of Form 1040A.

If you owe tax and are sending in your payment, donot attach it to Form 1040A. Instead, place it looseinside the envelope.

General Information

What Should You Do If You Move? If you move afteryou file, always notify in writing the Internal RevenueService Center where you filed your last return, or theChief, Taxpayer Service Division, at your local IRSdistrict office. You can use Form 8822 to notify us ofyour new address. If you are expecting a refund, alsonotify the post office serving your old address. This willhelp forward your check to your new address.

How Long Should You Keep Your Tax Return? Keepa copy of your tax return, worksheets you used, andrecords of all items appearing on it (such as W-2 and1099 forms) until the statute of limitations runs out forthat return. Usually, this is 3 years from the date thereturn was due or filed, or 2 years from the date thetax was paid, whichever is later. You should keepsome records longer. For example, keep propertyrecords (including those on your home) as long as theyare needed to figure the basis of the original orreplacement property. For more details, see Pub. 552.

Income Tax Withholding and Estimated TaxPayments for 1998. If the amount you owe or theamount you overpaid is large, you may want to file anew Form W-4 with your employer to change theamount of income tax withheld from your 1998 pay. Ingeneral, you do not have to make estimated taxpayments if you expect that your 1998 tax return willshow a tax refund OR a tax balance due the IRS ofless than $1,000. If your total estimated tax (includingany household employment taxes and alternativeminimum tax) for 1998 is $1,000 or more, see Form1040-ES. It has a worksheet you can use to see if youhave to make estimated tax payments. See Pub. 505for more details.

How Do You Amend Your Tax Return? File Form1040X to change a return you already filed. Generally,Form 1040X must be filed within 3 years after the datethe original return was filed, or within 2 years after thedate the tax was paid, whichever is later.

What Are Your Rights as a Taxpayer? You have theright to be treated fairly, professionally, promptly, andcourteously by IRS employees. Our goal at the IRS isto protect your rights so that you will have the highestconfidence in the integrity, efficiency, and fairness ofour tax system. To ensure that you always receivesuch treatment, you should know about the manyrights you have at each step of the tax process. Fordetails, see Pub. 1.

How Do You Make a Gift To Reduce the PublicDebt? If you wish to do so, make a check payable to

“Bureau of the Public Debt.” You can send it to:Bureau of the Public Debt, Department G, Washington,DC 20239-0601. Or, you can enclose the check withyour income tax return when you file.

If you itemize your deductions for 1998,you may be able to deduct this gift.

Other Ways To Get HelpSend Your Written Questions to the IRS. You maysend your written tax questions to your IRS DistrictDirector. You should get an answer in about 30 days.If you do not have the address, call us. See page 39for the number.Assistance With Your Return. Many IRS offices canhelp you prepare your return. An assister will explain aForm 1040EZ, 1040A, or 1040 with Schedules A and Bto you and other taxpayers in a group setting. Youmay also be able to file your return electronically bycomputer free of charge at many IRS offices. To findthe IRS office nearest you, look in the phone bookunder “United States Government, Internal RevenueService” or call us. See page 39 for the number.Volunteer Income Tax Assistance (VITA) and TaxCounseling for the Elderly (TCE). These programshelp older, disabled, low-income, andnon-English-speaking people fill in their returns. Fordetails, call us. See page 39 for the number. If youreceived a Federal income tax package in the mail,take it with you when you go for help. Also take acopy of your 1996 tax return if you have it. Or to findthe nearest American Association of Retired Persons(AARP) Tax-Aide site, visit AARP’s Internet Web Siteat—www.aarp.org/taxaide/home.htm.On-Line Services. If you subscribe to an on-lineservice, ask if on-line filing or tax information isavailable.Large-Print Forms and Instructions. Pub. 1615 haslarge-print copies of Form 1040A, Schedules 1, 2, 3,and EIC, and their instructions. You can use thelarge-print form and schedules as worksheets to figureyour tax, but you cannot file on them. You can getPub. 1615 by phone or mail. See page 4.Help for People With Disabilities. Telephone help isavailable using TTY/TDD equipment. See page 39 forthe number to call.

Braille materials are available at libraries that havespecial services for people with disabilities.

Help With Unresolved Tax Issues. The ProblemResolution Program is for people who have beenunable to resolve their problems with the IRS. If youhave a tax problem you cannot clear up throughnormal channels, write to your local IRS DistrictDirector or call your local IRS office and ask forProblem Resolution assistance. People who haveaccess to TTY/TDD equipment may call1-800-829-4059 to ask for help from ProblemResolution. This office cannot change the tax law ortechnical decisions. But it can help you clear upproblems that resulted from previous contacts. Formore details, use TeleTax topic 104 (see page 40) orsee Pub. 1546.

You can get the following items from the IRS orat participating post offices or libraries.Form 1040

Instructions for Form 1040 & SchedulesSchedule A for itemized deductions

Schedule B for interest and dividend income if over$400, and for answering the foreign accounts orforeign trusts questions

Schedule EIC qualifying child information for theearned income credit

Form 1040AInstructions for Form 1040A & Schedules

Schedule 1 for Form 1040A filers to report interest anddividend income

Schedule 2 for Form 1040A filers to report child anddependent care expenses

Form 1040EZInstructions for Form 1040EZMany libraries also carry reference sets of forms and

publications which can be photocopied and used forfiling. Ask the reference librarian for Pub. 1132,Reproducible Federal Tax Forms For Use In Libraries,and Pub. 1194, A Selection of IRS Tax InformationPublications.

Partial List of Forms Available by Fax

The following forms and instructions are available byfax by calling 703-368-9694 from the telephoneconnected to the fax machine. When you call, you willhear instructions on how to use the system. Select the

option for getting forms. Then, enter the Fax OrderNo. shown below for each item you want. When youhang up the phone, the fax will begin.

FaxOrderNo.

Name of Formor Instructions

No.of

PagesTitle of Form or Instructions

16055Form SS-4 4Application for Employer IdentificationNumber

10220Form W-4 2Employee’s Withholding AllowanceCertificate

10227Form W-5 2Earned Income Credit Advance PaymentCertificate

10231Form W-9 2Request for Taxpayer IdentificationNumber and Certification

10437Form W-10 1Dependent Care Provider’s Identificationand Certification

11320Form 1040 2U.S. Individual Income Tax Return

11330 2Itemized Deductions & Interest andDividend Income

11334Schedule C(Form 1040)

2Profit or Loss From Business(Sole Proprietorship)

14374Schedule C-EZ(Form 1040)

2Net Profit From Business(Sole Proprietorship)

11338Schedule D(Form 1040)

2Capital Gains and Losses

11344Schedule E(Form 1040)

2Supplemental Income and Loss

13339Schedule EIC(Form 1040Aor 1040)

2Earned Income Credit

Schedules A&B(Form 1040)

FaxOrderNo.

Name of Formor Instructions

No.of

PagesTitle of Form or Instructions

Application for IRS Individual TaxpayerIdentification Number

3Form W-7 10229

Tax Table and Tax Rate Schedules (Form1040)

Instr. Sch. A&B

Instr. Sch. C

Instr. Sch. D

Instr. Sch. E

Tax Table andTax Rate Sch.

24327 13

24328 7

24329 6

24331 4

24332 5

Instr. W-9 20479 2

Line Instructions for Form 1040 11325 19

11358Schedule SE(Form 1040)

2Self-Employment Tax

11327Form 1040A 2U.S. Individual Income Tax Return

12075Schedule 1(Form 1040A)

1Interest and Dividend Income forForm 1040A Filers


2Child and Dependent Care Expenses forForm 1040A Filers


2Credit for the Elderly or the Disabled forForm 1040A Filers

12059 4Instr. Sch. 3

11340Form 1040-ES 6Estimated Tax for Individuals

11329Form 1040EZ 2Income Tax Return for Single and JointFilers With No Dependents

Instr. Sch. SE 24334 3

Instr. 1040Instr. 1040 24811 16General Information for Form 1040

11710Form 2119 2Sale of Your Home18038 5Instr. 2119

11744Form 2210 3Underpayment of Estimated Tax byIndividuals, Estates, and Trusts

63610 5Instr. 2210

11862Form 2441 2Child and Dependent Care Expenses10842 3Instr. 2441

12490Form 3903 2Moving Expenses

12906Form 4562 2Depreciation and Amortization12907 12Instr. 4562

13141Form 4868 4Application for Automatic Extension ofTime To File U.S. Individual IncomeTax Return

13910Form 8332 1Release of Claim to Exemption for Childof Divorced or Separated Parents

62474Form 8379 2Injured Spouse Claim and Allocation

63966Form 8606 2Nondeductible IRAs (Contributions,Distributions, and Basis)

10750Form 8814 2Parents’ Election To Report Child’sInterest and Dividends

12081Form 8822 2Change of Address

13232Form 8829 1Expenses for Business Use of Your Home15683 3Instr. 8829

64188 4Instr. 2106

20604Form 2106-EZ 2Unreimbursed Employee BusinessExpenses

11700Form 2106 2Employee Business Expenses

11980Form 2848 2Power of Attorney and Declaration ofRepresentative

13177Form 4952 2Investment Interest Expense Deduction

14842Form 9465 2Installment Agreement Request

Instr. 2848 11981 3

Order Blank for Forms and Publications

For faster ways of getting the items youneed, see page 4.

How To Use the Order Blank1. Cut the order blank on the dotted line and be sure

to print or type your name accurately in thespace provided.

2. Circle the items you need. Use the blank spaces toorder items not listed. If you need more space,attach a separate sheet of paper listing the

additional items you need. To help reduce waste,please order only the items you need to prepareyour return. We will send you two copies of eachform and one copy of each set of instructions orpublication you circle.

3. Enclose the order blank in your own envelope andsend it to the IRS address shown on the nextpage. Do not use the envelope we sent you in yourtax package because this envelope may be usedonly for filing your income tax return. You shouldreceive your order or notification of its status within7 to 15 workdays after we receive your request.

Order Blank

SchedulesA&B (1040) &instructions

ScheduleSE (1040) &instructions

1040 &instructions

Pub. 525

Schedule C(1040) &

instructions

3903 &instructions

1040-ES &instructions

(1998)

Pub. 926

8822 &instructions

Pub. 527

Circle theforms,instructions, andpublicationsyou need

Schedule D(1040) &

instructions

4562 &instructions1040A

1040X &instructions

Pub. 529Pub. 501

2106 &instructions

4868 &instructions

Pub. 1

Schedule 2(1040A)

Schedule E(1040) &

instructions

2119 &instructions

5329 &instructions

Pub. 521

Schedule 3(1040A) &

instructions

Schedule EIC(1040A or

1040) & instr.

Pub. 334

Pub. 523

Pub. 550

Schedule R(1040) &

instructions

1040EZ

2441 &instructions

8582 &instructions

Pub. 575

Instructionsfor 1040EZ

Instructionsfor 1040A &Schedules

Schedule 1(1040A)

Pub. 17

Pub. 463

Schedule F(1040) &

instructions

Pub. 554

ScheduleC-EZ (1040)

& instructions

Name

Number, street, and apt. number

City, town or post office, state, and ZIP code

Detach at this line

8829 &instructions

Fill in yourname andaddress

Pub. 936

Pub. 590

Pub. 910

Pub. 596

Pub. 505

Pub. 508

8283 &instructions

The items in bold may be picked up at many post offices and libraries.

2106-EZ &instructions

Pub. 5028606 &instructions

2210 &instructions

Schedule H(1040) &

instructions

Pub. 929

1040-V &instructions

KL¨J

THEN send your order blank to . . .IF you live in . . .

Where Do You Send Your Order for Free Forms and Publications?

Alaska, Arizona, California, Colorado,Hawaii, Idaho, Montana, Nevada, NewMexico, Oregon, Utah, Washington,Wyoming, Guam, Northern Marianas,American Samoa

Western Area Distribution CenterRancho Cordova, CA95743-0001

Alabama, Arkansas, Illinois, Indiana, Iowa,Kansas, Kentucky, Louisiana, Michigan,Minnesota, Mississippi, Missouri, Nebraska,North Dakota, Ohio, Oklahoma, SouthDakota, Tennessee, Texas, Wisconsin

Central Area Distribution CenterP.O. Box 8903Bloomington, IL 61702-8903

Connecticut, Delaware, District ofColumbia, Florida, Georgia, Maine,Maryland, Massachusetts, NewHampshire, New Jersey, New York, NorthCarolina, Pennsylvania, Rhode Island,South Carolina, Vermont, Virginia, WestVirginia

Eastern Area Distribution CenterP.O. Box 85074Richmond, VA 23261-5074

Foreign Addresses—Taxpayers with mailingaddresses in foreign countries should send theorder blank to either: Eastern Area DistributionCenter, P.O. Box 25866, Richmond, VA23286-8107; or Western Area Distribution Center,Rancho Cordova, CA 95743-0001, whichever iscloser. Send letter requests for other forms andpublications to: Eastern Area Distribution Center,P.O. Box 25866, Richmond, VA 23286-8107.

Puerto Rico—Eastern Area Distribution Center, P.O.Box 25866, Richmond, VA 23286-8107

Virgin Islands—V.I. Bureau of Internal Revenue, 9601Estate Thomas, Charlotte Amalie, St. Thomas,VI 00802

Caution: Do not send your tax return to any of the addresses listed below. Instead, seeWhere Do You File? on the back cover.

Calling the IRS

If you cannot answer your question by using one of themethods listed on page 4, please call us forassistance. You will not be charged for the call unlessyour phone company charges you for local calls. Thisservice is available Monday through Saturday from7:00 a.m. to 11:00 p.m. (in Alaska from 6:00 a.m. to10:00 p.m. and in Hawaii from 5:00 a.m. to 9:00 p.m.).

If you want to check on the status of your1997 refund, call TeleTax. See page 40for the number.

Before You CallIRS representatives care about the quality of theservice we provide to you, our customer. You can helpus provide accurate, complete answers to yourquestions by having the following information available:1. The tax form, schedule, or notice to which your

question relates.2. The facts about your particular situation. The

answer to the same question often varies from onetaxpayer to another because of differences in theirage, income, whether they can be claimed as adependent, etc.

3. The name of any IRS publication or other source ofinformation that you used to look for the answer.

Making the CallFind the correct number by using the chart below. Ifyou have a pulse or rotary dial phone, stay on the lineand one of our assisters will answer your call.

If you have a touch-tone telephone, press 1 to enterour automated telephone system. You can press thenumber for your topic as soon as you hear it. Selectingthe correct topic helps us serve you faster and moreefficiently. The system allows you to order tax formsand publications and to select from the followingtopics.● Questions about a notice, letter, or bill you

received.● Questions about your refund, a tax return you filed,

or your tax records.● Questions about your taxes, or about preparing a

tax return.● Questions about business or employment taxes.

Before You Hang UpIf you do not fully understand the answer you receive,or you feel our representative may not fully understandyour question, our representative needs to know this.The representative will be happy to take the additionaltime required to be sure he or she has answered yourquestion fully so that it is most helpful to you.

By law, you are responsible for paying your share ofFederal income tax. If we should make an error inanswering your question, you are still responsible forthe payment of the correct tax. Should this occur,however, you will not be charged any penalty. To makesure that IRS representatives give accurate andcourteous answers, a second IRS representativesometimes listens in on telephone calls. No record iskept of any taxpayer’s identity.

Choosing the Right Number for Tax Help● If a number is listed below that is a local call for you, please use that number.

CaliforniaOakland, 510-839-1040

ColoradoDenver, 303-825-7041

FloridaJacksonville, 904-354-1760

GeorgiaAtlanta, 404-522-0050

MarylandBaltimore, 410-962-2590

MassachusettsBoston, 617-536-1040

MissouriSt. Louis, 314-342-1040

New YorkBuffalo, 716-685-5432OhioCincinnati, 513-621-6281Cleveland, 216-522-3000OregonPortland, 503-221-3960

PennsylvaniaPhiladelphia, 215-574-9900Pittsburgh, 412-281-0112

Puerto RicoSan Juan Metro Area,787-759-5100

TTY/TDD Help

All areas in U.S.,including Alaska,Hawaii, Virgin Islands,and Puerto Rico:1-800-829-4059Note: This number isanswered by TTY/TDDequipment only.

Hours of TTY/TDDOperation

7:30 a.m. to 6:30 p.m. EST(Jan. 1–April 4)

8:30 a.m. to 7:30 p.m. EDT(April 5–April 15)

8:30 a.m. to 6:30 p.m. EDT(April 16–Oct. 24)

7:30 a.m. to 5:30 p.m. EST(Oct. 25–Dec. 31)

● If a number is not listed below for your local calling area, please call 1-800-829-1040.

TexasDallas, 214-742-2440Houston, 713-541-0440

VirginiaRichmond, 804-698-5000

WashingtonSeattle, 206-442-1040

What Is TeleTax?

TeleTax allows you to get:Refund information. Check the status of your 1997refund.Recorded tax information. There are about 150 topicsthat answer many Federal tax questions. You canlisten to up to three topics on each call you make.

How Do You Use TeleTax?

Refund InformationNote: Refund information is not available until at least4 weeks after you file your return (3 weeks if you fileelectronically), and sometimes is not available for up to6 weeks. Please wait at least 4 weeks before calling tocheck on the status of your refund. If it has been morethan 6 weeks and TeleTax does not give you a refundissuance date, please call us. See page 39.

Be sure to have a copy of your 1997 tax returnavailable because you will need to know the first socialsecurity number shown on your return, the filing status,and the exact whole-dollar amount of your refund.

Then, call the appropriate phone number listedbelow and follow the recorded instructions.

The IRS updates refund information every7 days, usually over the weekend. If youcall to check the status of your refund andare not given the date it will be issued,please wait until the next week beforecalling back.

Touch-tone service is generally available Mondaythrough Friday from 7:00 a.m. to 11:30 p.m. Rotary orpulse service is generally available Monday throughFriday from 7:30 a.m. to 5:30 p.m. (Hours may vary inyour area.)

Recorded Tax InformationA complete list of topics is on the next page.Touch-tone service is available 24 hours a day, 7 daysa week. Rotary or pulse service is generally availableMonday through Friday from 7:30 a.m. to 5:30 p.m.(Hours in Alaska and Hawaii may vary.)

Select the number of the topic you want to hear.Then, call the appropriate phone number listed below.Have paper and pencil handy to take notes.

Topics by Fax or Personal ComputerTeleTax topics are also available using a fax machine(call 703-368-9694 from the telephone connected tothe fax machine) or a personal computer and modem(connect to www.irs.ustreas.gov).

Choosing the Right Number for TeleTax● If a number is listed below that is a local call for you, please use that number.

CaliforniaOakland, 510-839-4245ColoradoDenver, 303-592-1118District of Columbia202-628-2929

GeorgiaAtlanta, 404-331-6572IllinoisChicago, 312-886-9614IndianaIndianapolis, 317-377-0001MarylandBaltimore, 410-244-7306MassachusettsBoston, 617-536-0709MissouriSt. Louis, 314-241-4700

New YorkBuffalo, 716-685-5533OhioCincinnati, 513-421-0329Cleveland, 216-522-3037OregonPortland, 503-294-5363PennsylvaniaPhiladelphia, 215-627-1040Pittsburgh, 412-261-1040TennesseeNashville, 615-781-5040TexasDallas, 214-767-1792Houston, 713-541-3400VirginiaRichmond, 804-783-1569WashingtonSeattle, 206-343-7221

● If a number is not listed below for your local calling area, please call 1-800-829-4477.

FloridaJacksonville, 904-355-2000

TopicTopicTopicSubjectSubjectSubject No.No.No.TeleTax Topics

Topic

Topic

Subject

Subject

No.

No.

IRS Help Available

IRS services—Volunteer taxassistance, toll-freetelephone, walk-inassistance, and outreachprograms

101

Tax assistance forindividuals withdisabilities and thehearing impaired

102

Small Business TaxEducation Program(STEP)—Tax help forsmall businesses

103

Problem ResolutionProgram—Help forproblem situations

104

Public libraries—Taxinformation tapes andreproducible tax forms

105

Topic numbers areeffective January 1,1998.

911

151152

153

154

155

156

157

201202

203

204

251252253254

301

302

303

304

305306

307308309

310

999

351352

353

354355356

401402403404405

406407408409410411

412413

414

415

416

417418

419

420421

422423

424425

451

452453454

501502

503

455

505506507508509510511

512

513514

515

551552

553

554555

556

601

602

603

651652

653

701

702

703

704705706

751

752

753

755

756

757

758

759

760

761

762

801

802

803804

805

851

852853

854

855

856

901

902

903

904

951

952

953

954

955956957

958

959

960

Hardship assistanceapplications

IRS Procedures

Your appeal rightsRefunds—How longthey should takeWhat to do if youhaven’t filed your taxreturn (Nonfilers)Form W-2—What to doif not receivedForms andpublications—How toorderCopy of your taxreturn—How to get oneChange of address—How to notify IRS

Collection

The collection processWhat to do if you can’tpay your taxFailure to pay childsupport and otherFederal obligationsOffers in compromise

Alternative FilingMethods

1040PC tax returnElectronic filingSubstitute tax formsHow to choose a taxpreparer

General Information

When, where, and howto fileHighlights of taxchangesChecklist of commonerrors when preparingyour tax returnExtensions of time tofile your tax return

RecordkeepingPenalty forunderpayment ofestimated taxBackup withholdingAmended returnsTax fraud—How toreportPower of attorneyinformationLocal information

Filing Requirements,Filing Status, and

Exemptions

Who must file?Which form—1040,1040A, or 1040EZ?What is your filingstatus?DependentsEstimated taxDecedents

Types of Income

Wages and salariesTipsInterest receivedDividendsRefunds of state andlocal taxesAlimony receivedBusiness incomeSole proprietorshipCapital gains and lossesPensions and annuitiesPensions—The generalrule and the simplifiedgeneral ruleLump-sum distributionsRollovers fromretirement plansRental income andexpensesRenting vacationproperty and renting torelativesFarming and fishingincomeEarnings for clergyUnemploymentcompensationGambling income andexpensesBartering incomeScholarship andfellowship grantsNontaxable incomeSocial security andequivalent railroadretirement benefits401(k) plansPassive activities—Losses and credits

Adjustments to Income

Individual retirementarrangements (IRAs)Alimony paidBad debt deductionTax shelters

Itemized Deductions

Should I itemize?Medical and dentalexpensesDeductible taxes

Moving expenses

Interest expenseContributionsCasualty lossesMiscellaneous expensesBusiness use of homeBusiness use of carBusiness travelexpensesBusiness entertainmentexpensesEducational expensesEmployee businessexpensesDisaster area losses

Tax Computation

Standard deductionTax and credits figuredby IRSTax on a child’sinvestment incomeSelf-employment taxFive- or ten-year taxoptions for lump-sumdistributionsAlternative minimumtax

Tax Credits

Earned income credit(EIC)Child and dependentcare creditCredit for the elderly orthe disabled

IRS Notices and Letters

Notices—What to doNotice of underreportedincome—CP 2000IRS notices and billsand penalty andinterest charges

Basis of Assets,Depreciation, and Sale of

Assets

Sale of your home—GeneralSale of your home—Howto report gainSale of your home—Exclusion of gain, age55 and overBasis of assetsDepreciationInstallment sales

Employer TaxInformation

Social security andMedicare withholdingratesForm W-2—Where,when, and how to fileForm W-4—Employee’swithholding allowancecertificate

Employer identificationnumber (EIN)—How toapplyEmployment taxes forhousehold employeesForm 941—DepositrequirementsForm 941—Employer’sQuarterly Federal TaxReturnForm 940/940-EZ—Deposit requirementsForm 940/940-EZ—Employer’s AnnualFederal UnemploymentTax ReturnForm 945—AnnualReturn of WithheldFederal Income TaxTips—Withholding andreporting

Magnetic MediaFilers—1099 Series and

Related InformationReturns

(For electronic filing ofindividual returns, use

topic 252.)

Who must filemagneticallyApplications, forms, andinformationWaivers and extensionsTest files and combinedFederal and state filingElectronic filing ofinformation returns

Tax Information forAliens and U.S. Citizens

Living Abroad

Resident andnonresident aliensDual-status alienForeign earned incomeexclusion—GeneralForeign earned incomeexclusion—Whoqualifies?Foreign earned incomeexclusion—Whatqualifies?Foreign tax credit

Tax Information forPuerto Rico Residents

(in Spanish)

Who must file a U.S.income tax return inPuerto RicoDeductions and creditsfor Puerto Rico filersFederal employmenttaxes in Puerto RicoTax assistance forPuerto Rico residents

Other Topics in Spanish

IRS services—Volunteer taxassistance, toll-freetelephone, walk-inassistance, andoutreach programsRefunds—How longthey should takeForms andpublications—How toorderHighlights of taxchangesWho must file?Which form to use?What is your filingstatus?Social security andequivalent railroadretirement benefitsEarned income credit(EIC)Advance earnedincome credit604 Advance earned income

credit

Form W-5—Advanceearned income credit

754

961 Alien tax clearance

504 Home mortgage points

255 TeleFile

654 Notice of change toreturn

655 We changed youraccount

656 CP11—Notice of changeto return

657 We corrected yourreturn—amount dueIRS

658 We changed youraccount (Refund)

659 CP12—We changedyour return—You aredue a refund

660 CP22A—We changedyour account

What Should You Know About the Privacy Act and Paperwork Reduction Act Notice?

Copying,assembling,and sending

the formto the IRS

Learningabout

the law orthe form

Preparingthe formRecordkeepingForm

35 min.3 hr., 4 min.2 hr., 8 min.1 hr., 4 min.Form 1040A

20 min.10 min.4 min.20 min.Sch. 1



The time needed to complete and file Form 1040A and itsschedules will vary depending on individual circumstances.

Estimated Preparation Time

Sch. EIC 0 min. 2 min. 4 min. 20 min.

Totals

6 hr., 51 min.

54 min.

1 hr., 51 min.

1 hr., 27 min.

26 min.

The law says that when we ask you for information wemust tell you our legal right to ask for the information,why we are asking for it, and how it will be used. Wemust also tell you what could happen if we do not receivethe information and whether your response is voluntary,needed for a benefit, or mandatory under the law.

This notice applies to all papers you file with us,including this tax return. It also applies to any questionswe need to ask you so we can complete, correct, orprocess your return; figure your tax; and collect the tax,interest, or penalties. Internal Revenue Code sections6001, 6011, and 6012(a) say that you must file a return orstatement with us for any tax for which you are liable.Your response is mandatory under these sections. Codesection 6109 says that you must show your socialsecurity number on what you file, so we know who youare and can process your return and other papers. Youmust fill in all parts of the tax form that apply to you.However, you do not have to check the boxes for thePresidential Election Campaign Fund.

We ask for tax return information to carry out the taxlaws of the United States. We need it to figure and collectthe right amount of tax.

If you do not file a return, do not give the informationasked for, or give false information, you may be chargedpenalties and be subject to criminal prosecution. We mayalso have to disallow the exemptions, exclusions, credits,deductions, or adjustments shown on your tax return.This could make the tax higher or delay any refund.Interest may also be charged.

Please keep this notice with your records. It may helpyou if we ask you for other information. If you havequestions about the rules for filing and giving information,please call or visit any Internal Revenue Service office.The Time It Takes To Prepare Your Return. We try tocreate forms and instructions that can be easilyunderstood. The time needed to complete and file theforms in the chart below will vary depending on individualcircumstances.

The estimated average time for people with IRAdistributions, pension income, social security benefits,etc., is: Recordkeeping, 2 hr., 17 min.; Learning aboutthe law or the form, 2 hr., 20 min.; Preparing the form,3 hr., 13 min.; Copying, assembling, and sending theform to the IRS, 35 min.; Total, 8 hr., 25 min.We Welcome Comments on Forms. If you havecomments concerning the accuracy of these timeestimates or suggestions for making these forms simpler,we would be happy to hear from you. You can e-mail usyour suggestions and comments through the IRS InternetHome Page (www.irs.ustreas.gov) or write to the TaxForms Committee, Western Area Distribution Center,Rancho Cordova, CA 95743-0001.

DO NOT send your return to this address. Instead, seeWhere Do You File? on the back cover.

You are not required to provide the informationrequested on a form that is subject to the PaperworkReduction Act unless the form displays a valid OMBcontrol number. Books or records relating to a form or itsinstructions must be retained as long as their contentsmay become material in the administration of any InternalRevenue law. Generally, tax returns and return informationare confidential, as required by Code section 6103.

We may give the information to the Department ofJustice and to other Federal agencies, as provided bylaw. We may also give it to cities, states, the District ofColumbia, U.S. commonwealths or possessions, andcertain foreign governments to carry out their tax laws.

The estimated average times are:

1997 Tax TableFor persons with taxable incomes of less than $50,000Example. Mr. and Mrs. Green are filing a joint return. Their taxableincome on line 22 of Form 1040A is $23,250. First, they find the$23,250–23,300 income line. Next, they find the column for married filingjointly and read down the column. The amount shown where the incomeline and filing status column meet is $3,491. This is the tax amount theyshould enter on line 23 of Form 1040A.

©

And you are—

Atleast

Butlessthan

Single Marriedfilingjointly

*

Marriedfilingsepa-rately

Headof ahouse-hold

Your tax is—

And you are—

Atleast

Butlessthan


*


Your tax is—

If Form 1040A,line 22, is— And you are—

Atleast

Butlessthan


*


Headof ahouse-hold

Your tax is—

* This column must also be used by a qualifying widow(er).

If Form 1040A,line 22, is—


Atleast

Butlessthan


*


Headof ahouse-hold

Your tax is—23,20023,25023,30023,350

3,4843,4913,4993,506

23,25023,30023,35023,400

3,4843,4913,4993,506

3,8253,8393,8533,867

3,4843,4913,4993,506

Continued on next page

1,000

2,000

3,000

4,000

Headof ahouse-hold

$0 $5 $0 $0 $0 $05 15 2 2 2 2

15 25 3 3 3 325 50 6 6 6 650 75 9 9 9 975 100 13 13 13 13

100 125 17 17 17 17125 150 21 21 21 21150 175 24 24 24 24175 200 28 28 28 28

200 225 32 32 32 32225 250 36 36 36 36250 275 39 39 39 39275 300 43 43 43 43

300 325 47 47 47 47325 350 51 51 51 51350 375 54 54 54 54375 400 58 58 58 58

400 425 62 62 62 62425 450 66 66 66 66450 475 69 69 69 69475 500 73 73 73 73

500 525 77 77 77 77525 550 81 81 81 81550 575 84 84 84 84575 600 88 88 88 88

600 625 92 92 92 92625 650 96 96 96 96650 675 99 99 99 99675 700 103 103 103 103

700 725 107 107 107 107725 750 111 111 111 111750 775 114 114 114 114775 800 118 118 118 118

800 825 122 122 122 122825 850 126 126 126 126850 875 129 129 129 129875 900 133 133 133 133

900 925 137 137 137 137925 950 141 141 141 141950 975 144 144 144 144975 1,000 148 148 148 148

1,000 1,025 152 152 152 1521,025 1,050 156 156 156 1561,050 1,075 159 159 159 1591,075 1,100 163 163 163 163

1,100 1,125 167 167 167 1671,125 1,150 171 171 171 1711,150 1,175 174 174 174 1741,175 1,200 178 178 178 178

1,200 1,225 182 182 182 1821,225 1,250 186 186 186 1861,250 1,275 189 189 189 1891,275 1,300 193 193 193 193

1,300 1,325 197 197 197 1971,325 1,350 201 201 201 2011,350 1,375 204 204 204 2041,375 1,400 208 208 208 2081,400 1,425 212 212 212 2121,425 1,450 216 216 216 2161,450 1,475 219 219 219 2191,475 1,500 223 223 223 2231,500 1,525 227 227 227 2271,525 1,550 231 231 231 2311,550 1,575 234 234 234 2341,575 1,600 238 238 238 2381,600 1,625 242 242 242 2421,625 1,650 246 246 246 2461,650 1,675 249 249 249 2491,675 1,700 253 253 253 2531,700 1,725 257 257 257 2571,725 1,750 261 261 261 2611,750 1,775 264 264 264 2641,775 1,800 268 268 268 2681,800 1,825 272 272 272 2721,825 1,850 276 276 276 2761,850 1,875 279 279 279 2791,875 1,900 283 283 283 2831,900 1,925 287 287 287 2871,925 1,950 291 291 291 2911,950 1,975 294 294 294 2941,975 2,000 298 298 298 298

2,000 2,025 302 302 302 3022,025 2,050 306 306 306 3062,050 2,075 309 309 309 3092,075 2,100 313 313 313 3132,100 2,125 317 317 317 3172,125 2,150 321 321 321 3212,150 2,175 324 324 324 3242,175 2,200 328 328 328 3282,200 2,225 332 332 332 3322,225 2,250 336 336 336 3362,250 2,275 339 339 339 3392,275 2,300 343 343 343 3432,300 2,325 347 347 347 3472,325 2,350 351 351 351 3512,350 2,375 354 354 354 3542,375 2,400 358 358 358 3582,400 2,425 362 362 362 3622,425 2,450 366 366 366 3662,450 2,475 369 369 369 3692,475 2,500 373 373 373 3732,500 2,525 377 377 377 3772,525 2,550 381 381 381 3812,550 2,575 384 384 384 3842,575 2,600 388 388 388 3882,600 2,625 392 392 392 3922,625 2,650 396 396 396 3962,650 2,675 399 399 399 3992,675 2,700 403 403 403 403

2,700 2,725 407 407 407 4072,725 2,750 411 411 411 4112,750 2,775 414 414 414 4142,775 2,800 418 418 418 4182,800 2,825 422 422 422 4222,825 2,850 426 426 426 4262,850 2,875 429 429 429 4292,875 2,900 433 433 433 4332,900 2,925 437 437 437 4372,925 2,950 441 441 441 4412,950 2,975 444 444 444 4442,975 3,000 448 448 448 448

3,000 3,050 454 454 454 4543,050 3,100 461 461 461 4613,100 3,150 469 469 469 4693,150 3,200 476 476 476 4763,200 3,250 484 484 484 4843,250 3,300 491 491 491 4913,300 3,350 499 499 499 4993,350 3,400 506 506 506 5063,400 3,450 514 514 514 5143,450 3,500 521 521 521 5213,500 3,550 529 529 529 5293,550 3,600 536 536 536 5363,600 3,650 544 544 544 5443,650 3,700 551 551 551 5513,700 3,750 559 559 559 5593,750 3,800 566 566 566 5663,800 3,850 574 574 574 5743,850 3,900 581 581 581 5813,900 3,950 589 589 589 5893,950 4,000 596 596 596 596

4,000 4,050 604 604 604 6044,050 4,100 611 611 611 6114,100 4,150 619 619 619 6194,150 4,200 626 626 626 6264,200 4,250 634 634 634 6344,250 4,300 641 641 641 6414,300 4,350 649 649 649 6494,350 4,400 656 656 656 6564,400 4,450 664 664 664 6644,450 4,500 671 671 671 6714,500 4,550 679 679 679 6794,550 4,600 686 686 686 6864,600 4,650 694 694 694 6944,650 4,700 701 701 701 7014,700 4,750 709 709 709 7094,750 4,800 716 716 716 7164,800 4,850 724 724 724 7244,850 4,900 731 731 731 7314,900 4,950 739 739 739 7394,950 5,000 746 746 746 746

1997 Tax Table—Continued

And you are—And you are—And you are—

Marriedfilingjointly

*

SingleMarriedfilingjointly

*


*

Single Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Your tax is—Your tax is—Your tax is—

Continued on next page* This column must also be used by a qualifying widow(er).


5,000

6,000

7,000

8,000

9,000

10,000

11,000

12,000

13,000

5,000 5,050 754 754 754 7545,050 5,100 761 761 761 7615,100 5,150 769 769 769 7695,150 5,200 776 776 776 7765,200 5,250 784 784 784 7845,250 5,300 791 791 791 7915,300 5,350 799 799 799 7995,350 5,400 806 806 806 8065,400 5,450 814 814 814 8145,450 5,500 821 821 821 8215,500 5,550 829 829 829 8295,550 5,600 836 836 836 8365,600 5,650 844 844 844 8445,650 5,700 851 851 851 8515,700 5,750 859 859 859 8595,750 5,800 866 866 866 8665,800 5,850 874 874 874 8745,850 5,900 881 881 881 8815,900 5,950 889 889 889 8895,950 6,000 896 896 896 896

6,000 6,050 904 904 904 9046,050 6,100 911 911 911 9116,100 6,150 919 919 919 9196,150 6,200 926 926 926 9266,200 6,250 934 934 934 9346,250 6,300 941 941 941 9416,300 6,350 949 949 949 9496,350 6,400 956 956 956 9566,400 6,450 964 964 964 9646,450 6,500 971 971 971 9716,500 6,550 979 979 979 9796,550 6,600 986 986 986 9866,600 6,650 994 994 994 9946,650 6,700 1,001 1,001 1,001 1,0016,700 6,750 1,009 1,009 1,009 1,0096,750 6,800 1,016 1,016 1,016 1,0166,800 6,850 1,024 1,024 1,024 1,0246,850 6,900 1,031 1,031 1,031 1,0316,900 6,950 1,039 1,039 1,039 1,0396,950 7,000 1,046 1,046 1,046 1,046

7,000 7,050 1,054 1,054 1,054 1,0547,050 7,100 1,061 1,061 1,061 1,0617,100 7,150 1,069 1,069 1,069 1,0697,150 7,200 1,076 1,076 1,076 1,0767,200 7,250 1,084 1,084 1,084 1,0847,250 7,300 1,091 1,091 1,091 1,0917,300 7,350 1,099 1,099 1,099 1,0997,350 7,400 1,106 1,106 1,106 1,1067,400 7,450 1,114 1,114 1,114 1,1147,450 7,500 1,121 1,121 1,121 1,1217,500 7,550 1,129 1,129 1,129 1,1297,550 7,600 1,136 1,136 1,136 1,1367,600 7,650 1,144 1,144 1,144 1,1447,650 7,700 1,151 1,151 1,151 1,1517,700 7,750 1,159 1,159 1,159 1,1597,750 7,800 1,166 1,166 1,166 1,1667,800 7,850 1,174 1,174 1,174 1,1747,850 7,900 1,181 1,181 1,181 1,1817,900 7,950 1,189 1,189 1,189 1,1897,950 8,000 1,196 1,196 1,196 1,196

8,000 8,050 1,204 1,204 1,204 1,2048,050 8,100 1,211 1,211 1,211 1,2118,100 8,150 1,219 1,219 1,219 1,2198,150 8,200 1,226 1,226 1,226 1,2268,200 8,250 1,234 1,234 1,234 1,2348,250 8,300 1,241 1,241 1,241 1,2418,300 8,350 1,249 1,249 1,249 1,2498,350 8,400 1,256 1,256 1,256 1,2568,400 8,450 1,264 1,264 1,264 1,2648,450 8,500 1,271 1,271 1,271 1,2718,500 8,550 1,279 1,279 1,279 1,2798,550 8,600 1,286 1,286 1,286 1,2868,600 8,650 1,294 1,294 1,294 1,2948,650 8,700 1,301 1,301 1,301 1,3018,700 8,750 1,309 1,309 1,309 1,3098,750 8,800 1,316 1,316 1,316 1,3168,800 8,850 1,324 1,324 1,324 1,3248,850 8,900 1,331 1,331 1,331 1,3318,900 8,950 1,339 1,339 1,339 1,3398,950 9,000 1,346 1,346 1,346 1,346

9,000 9,050 1,354 1,354 1,354 1,3549,050 9,100 1,361 1,361 1,361 1,3619,100 9,150 1,369 1,369 1,369 1,3699,150 9,200 1,376 1,376 1,376 1,3769,200 9,250 1,384 1,384 1,384 1,3849,250 9,300 1,391 1,391 1,391 1,3919,300 9,350 1,399 1,399 1,399 1,3999,350 9,400 1,406 1,406 1,406 1,4069,400 9,450 1,414 1,414 1,414 1,4149,450 9,500 1,421 1,421 1,421 1,4219,500 9,550 1,429 1,429 1,429 1,4299,550 9,600 1,436 1,436 1,436 1,4369,600 9,650 1,444 1,444 1,444 1,4449,650 9,700 1,451 1,451 1,451 1,4519,700 9,750 1,459 1,459 1,459 1,4599,750 9,800 1,466 1,466 1,466 1,4669,800 9,850 1,474 1,474 1,474 1,4749,850 9,900 1,481 1,481 1,481 1,4819,900 9,950 1,489 1,489 1,489 1,4899,950 10,000 1,496 1,496 1,496 1,496

10,000 10,050 1,504 1,504 1,504 1,50410,050 10,100 1,511 1,511 1,511 1,51110,100 10,150 1,519 1,519 1,519 1,51910,150 10,200 1,526 1,526 1,526 1,52610,200 10,250 1,534 1,534 1,534 1,53410,250 10,300 1,541 1,541 1,541 1,54110,300 10,350 1,549 1,549 1,549 1,54910,350 10,400 1,556 1,556 1,556 1,55610,400 10,450 1,564 1,564 1,564 1,56410,450 10,500 1,571 1,571 1,571 1,57110,500 10,550 1,579 1,579 1,579 1,57910,550 10,600 1,586 1,586 1,586 1,58610,600 10,650 1,594 1,594 1,594 1,59410,650 10,700 1,601 1,601 1,601 1,60110,700 10,750 1,609 1,609 1,609 1,60910,750 10,800 1,616 1,616 1,616 1,61610,800 10,850 1,624 1,624 1,624 1,62410,850 10,900 1,631 1,631 1,631 1,63110,900 10,950 1,639 1,639 1,639 1,63910,950 11,000 1,646 1,646 1,646 1,646

11,000 11,050 1,654 1,654 1,654 1,65411,050 11,100 1,661 1,661 1,661 1,66111,100 11,150 1,669 1,669 1,669 1,66911,150 11,200 1,676 1,676 1,676 1,67611,200 11,250 1,684 1,684 1,684 1,68411,250 11,300 1,691 1,691 1,691 1,69111,300 11,350 1,699 1,699 1,699 1,69911,350 11,400 1,706 1,706 1,706 1,70611,400 11,450 1,714 1,714 1,714 1,71411,450 11,500 1,721 1,721 1,721 1,72111,500 11,550 1,729 1,729 1,729 1,72911,550 11,600 1,736 1,736 1,736 1,73611,600 11,650 1,744 1,744 1,744 1,74411,650 11,700 1,751 1,751 1,751 1,75111,700 11,750 1,759 1,759 1,759 1,75911,750 11,800 1,766 1,766 1,766 1,76611,800 11,850 1,774 1,774 1,774 1,77411,850 11,900 1,781 1,781 1,781 1,78111,900 11,950 1,789 1,789 1,789 1,78911,950 12,000 1,796 1,796 1,796 1,796

12,000 12,050 1,804 1,804 1,804 1,80412,050 12,100 1,811 1,811 1,811 1,81112,100 12,150 1,819 1,819 1,819 1,81912,150 12,200 1,826 1,826 1,826 1,82612,200 12,250 1,834 1,834 1,834 1,83412,250 12,300 1,841 1,841 1,841 1,84112,300 12,350 1,849 1,849 1,849 1,84912,350 12,400 1,856 1,856 1,856 1,85612,400 12,450 1,864 1,864 1,864 1,86412,450 12,500 1,871 1,871 1,871 1,87112,500 12,550 1,879 1,879 1,879 1,87912,550 12,600 1,886 1,886 1,886 1,88612,600 12,650 1,894 1,894 1,894 1,89412,650 12,700 1,901 1,901 1,901 1,90112,700 12,750 1,909 1,909 1,909 1,90912,750 12,800 1,916 1,916 1,916 1,91612,800 12,850 1,924 1,924 1,924 1,92412,850 12,900 1,931 1,931 1,931 1,93112,900 12,950 1,939 1,939 1,939 1,93912,950 13,000 1,946 1,946 1,946 1,946

13,000 13,050 1,954 1,954 1,954 1,95413,050 13,100 1,961 1,961 1,961 1,96113,100 13,150 1,969 1,969 1,969 1,96913,150 13,200 1,976 1,976 1,976 1,97613,200 13,250 1,984 1,984 1,984 1,98413,250 13,300 1,991 1,991 1,991 1,99113,300 13,350 1,999 1,999 1,999 1,99913,350 13,400 2,006 2,006 2,006 2,00613,400 13,450 2,014 2,014 2,014 2,01413,450 13,500 2,021 2,021 2,021 2,02113,500 13,550 2,029 2,029 2,029 2,02913,550 13,600 2,036 2,036 2,036 2,03613,600 13,650 2,044 2,044 2,044 2,04413,650 13,700 2,051 2,051 2,051 2,05113,700 13,750 2,059 2,059 2,059 2,05913,750 13,800 2,066 2,066 2,066 2,06613,800 13,850 2,074 2,074 2,074 2,07413,850 13,900 2,081 2,081 2,081 2,08113,900 13,950 2,089 2,089 2,089 2,08913,950 14,000 2,096 2,096 2,096 2,096






*


*


*



Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast




14,000

15,000

16,000

17,000

18,000

19,000

20,000

21,000

22,000

14,000 14,050 2,104 2,104 2,104 2,10414,050 14,100 2,111 2,111 2,111 2,11114,100 14,150 2,119 2,119 2,119 2,11914,150 14,200 2,126 2,126 2,126 2,12614,200 14,250 2,134 2,134 2,134 2,13414,250 14,300 2,141 2,141 2,141 2,14114,300 14,350 2,149 2,149 2,149 2,14914,350 14,400 2,156 2,156 2,156 2,15614,400 14,450 2,164 2,164 2,164 2,16414,450 14,500 2,171 2,171 2,171 2,17114,500 14,550 2,179 2,179 2,179 2,17914,550 14,600 2,186 2,186 2,186 2,18614,600 14,650 2,194 2,194 2,194 2,19414,650 14,700 2,201 2,201 2,201 2,20114,700 14,750 2,209 2,209 2,209 2,20914,750 14,800 2,216 2,216 2,216 2,21614,800 14,850 2,224 2,224 2,224 2,22414,850 14,900 2,231 2,231 2,231 2,23114,900 14,950 2,239 2,239 2,239 2,23914,950 15,000 2,246 2,246 2,246 2,246

15,000 15,050 2,254 2,254 2,254 2,25415,050 15,100 2,261 2,261 2,261 2,26115,100 15,150 2,269 2,269 2,269 2,26915,150 15,200 2,276 2,276 2,276 2,27615,200 15,250 2,284 2,284 2,284 2,28415,250 15,300 2,291 2,291 2,291 2,29115,300 15,350 2,299 2,299 2,299 2,29915,350 15,400 2,306 2,306 2,306 2,30615,400 15,450 2,314 2,314 2,314 2,31415,450 15,500 2,321 2,321 2,321 2,32115,500 15,550 2,329 2,329 2,329 2,32915,550 15,600 2,336 2,336 2,336 2,33615,600 15,650 2,344 2,344 2,344 2,34415,650 15,700 2,351 2,351 2,351 2,35115,700 15,750 2,359 2,359 2,359 2,35915,750 15,800 2,366 2,366 2,366 2,36615,800 15,850 2,374 2,374 2,374 2,37415,850 15,900 2,381 2,381 2,381 2,38115,900 15,950 2,389 2,389 2,389 2,38915,950 16,000 2,396 2,396 2,396 2,396

16,000 16,050 2,404 2,404 2,404 2,40416,050 16,100 2,411 2,411 2,411 2,41116,100 16,150 2,419 2,419 2,419 2,41916,150 16,200 2,426 2,426 2,426 2,42616,200 16,250 2,434 2,434 2,434 2,43416,250 16,300 2,441 2,441 2,441 2,44116,300 16,350 2,449 2,449 2,449 2,44916,350 16,400 2,456 2,456 2,456 2,45616,400 16,450 2,464 2,464 2,464 2,46416,450 16,500 2,471 2,471 2,471 2,47116,500 16,550 2,479 2,479 2,479 2,47916,550 16,600 2,486 2,486 2,486 2,48616,600 16,650 2,494 2,494 2,494 2,49416,650 16,700 2,501 2,501 2,501 2,50116,700 16,750 2,509 2,509 2,509 2,50916,750 16,800 2,516 2,516 2,516 2,51616,800 16,850 2,524 2,524 2,524 2,52416,850 16,900 2,531 2,531 2,531 2,53116,900 16,950 2,539 2,539 2,539 2,53916,950 17,000 2,546 2,546 2,546 2,546

17,000 17,050 2,554 2,554 2,554 2,55417,050 17,100 2,561 2,561 2,561 2,56117,100 17,150 2,569 2,569 2,569 2,56917,150 17,200 2,576 2,576 2,576 2,57617,200 17,250 2,584 2,584 2,584 2,58417,250 17,300 2,591 2,591 2,591 2,59117,300 17,350 2,599 2,599 2,599 2,59917,350 17,400 2,606 2,606 2,606 2,60617,400 17,450 2,614 2,614 2,614 2,61417,450 17,500 2,621 2,621 2,621 2,62117,500 17,550 2,629 2,629 2,629 2,62917,550 17,600 2,636 2,636 2,636 2,63617,600 17,650 2,644 2,644 2,644 2,64417,650 17,700 2,651 2,651 2,651 2,65117,700 17,750 2,659 2,659 2,659 2,65917,750 17,800 2,666 2,666 2,666 2,66617,800 17,850 2,674 2,674 2,674 2,67417,850 17,900 2,681 2,681 2,681 2,68117,900 17,950 2,689 2,689 2,689 2,68917,950 18,000 2,696 2,696 2,696 2,696

18,000 18,050 2,704 2,704 2,704 2,70418,050 18,100 2,711 2,711 2,711 2,71118,100 18,150 2,719 2,719 2,719 2,71918,150 18,200 2,726 2,726 2,726 2,72618,200 18,250 2,734 2,734 2,734 2,73418,250 18,300 2,741 2,741 2,741 2,74118,300 18,350 2,749 2,749 2,749 2,74918,350 18,400 2,756 2,756 2,756 2,75618,400 18,450 2,764 2,764 2,764 2,76418,450 18,500 2,771 2,771 2,771 2,77118,500 18,550 2,779 2,779 2,779 2,77918,550 18,600 2,786 2,786 2,786 2,78618,600 18,650 2,794 2,794 2,794 2,79418,650 18,700 2,801 2,801 2,801 2,80118,700 18,750 2,809 2,809 2,809 2,80918,750 18,800 2,816 2,816 2,816 2,81618,800 18,850 2,824 2,824 2,824 2,82418,850 18,900 2,831 2,831 2,831 2,83118,900 18,950 2,839 2,839 2,839 2,83918,950 19,000 2,846 2,846 2,846 2,846

19,000 19,050 2,854 2,854 2,854 2,85419,050 19,100 2,861 2,861 2,861 2,86119,100 19,150 2,869 2,869 2,869 2,86919,150 19,200 2,876 2,876 2,876 2,87619,200 19,250 2,884 2,884 2,884 2,88419,250 19,300 2,891 2,891 2,891 2,89119,300 19,350 2,899 2,899 2,899 2,89919,350 19,400 2,906 2,906 2,906 2,90619,400 19,450 2,914 2,914 2,914 2,91419,450 19,500 2,921 2,921 2,921 2,92119,500 19,550 2,929 2,929 2,929 2,92919,550 19,600 2,936 2,936 2,936 2,93619,600 19,650 2,944 2,944 2,944 2,94419,650 19,700 2,951 2,951 2,951 2,95119,700 19,750 2,959 2,959 2,959 2,95919,750 19,800 2,966 2,966 2,966 2,96619,800 19,850 2,974 2,974 2,974 2,97419,850 19,900 2,981 2,981 2,981 2,98119,900 19,950 2,989 2,989 2,989 2,98919,950 20,000 2,996 2,996 2,996 2,996

20,000 20,050 3,004 3,004 3,004 3,00420,050 20,100 3,011 3,011 3,011 3,01120,100 20,150 3,019 3,019 3,019 3,01920,150 20,200 3,026 3,026 3,026 3,02620,200 20,250 3,034 3,034 3,034 3,03420,250 20,300 3,041 3,041 3,041 3,04120,300 20,350 3,049 3,049 3,049 3,04920,350 20,400 3,056 3,056 3,056 3,05620,400 20,450 3,064 3,064 3,064 3,06420,450 20,500 3,071 3,071 3,071 3,07120,500 20,550 3,079 3,079 3,079 3,07920,550 20,600 3,086 3,086 3,086 3,08620,600 20,650 3,094 3,094 3,097 3,09420,650 20,700 3,101 3,101 3,111 3,10120,700 20,750 3,109 3,109 3,125 3,10920,750 20,800 3,116 3,116 3,139 3,11620,800 20,850 3,124 3,124 3,153 3,12420,850 20,900 3,131 3,131 3,167 3,13120,900 20,950 3,139 3,139 3,181 3,13920,950 21,000 3,146 3,146 3,195 3,146

21,000 21,050 3,154 3,154 3,209 3,15421,050 21,100 3,161 3,161 3,223 3,16121,100 21,150 3,169 3,169 3,237 3,16921,150 21,200 3,176 3,176 3,251 3,17621,200 21,250 3,184 3,184 3,265 3,18421,250 21,300 3,191 3,191 3,279 3,19121,300 21,350 3,199 3,199 3,293 3,19921,350 21,400 3,206 3,206 3,307 3,20621,400 21,450 3,214 3,214 3,321 3,21421,450 21,500 3,221 3,221 3,335 3,22121,500 21,550 3,229 3,229 3,349 3,22921,550 21,600 3,236 3,236 3,363 3,23621,600 21,650 3,244 3,244 3,377 3,24421,650 21,700 3,251 3,251 3,391 3,25121,700 21,750 3,259 3,259 3,405 3,25921,750 21,800 3,266 3,266 3,419 3,26621,800 21,850 3,274 3,274 3,433 3,27421,850 21,900 3,281 3,281 3,447 3,28121,900 21,950 3,289 3,289 3,461 3,28921,950 22,000 3,296 3,296 3,475 3,296

22,000 22,050 3,304 3,304 3,489 3,30422,050 22,100 3,311 3,311 3,503 3,31122,100 22,150 3,319 3,319 3,517 3,31922,150 22,200 3,326 3,326 3,531 3,32622,200 22,250 3,334 3,334 3,545 3,33422,250 22,300 3,341 3,341 3,559 3,34122,300 22,350 3,349 3,349 3,573 3,34922,350 22,400 3,356 3,356 3,587 3,35622,400 22,450 3,364 3,364 3,601 3,36422,450 22,500 3,371 3,371 3,615 3,37122,500 22,550 3,379 3,379 3,629 3,37922,550 22,600 3,386 3,386 3,643 3,38622,600 22,650 3,394 3,394 3,657 3,39422,650 22,700 3,401 3,401 3,671 3,40122,700 22,750 3,409 3,409 3,685 3,40922,750 22,800 3,416 3,416 3,699 3,41622,800 22,850 3,424 3,424 3,713 3,42422,850 22,900 3,431 3,431 3,727 3,43122,900 22,950 3,439 3,439 3,741 3,43922,950 23,000 3,446 3,446 3,755 3,446






*


*


*



Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast




23,000

24,000

25,000

26,000

27,000

28,000

29,000

30,000

31,000

23,000 23,050 3,454 3,454 3,769 3,45423,050 23,100 3,461 3,461 3,783 3,46123,100 23,150 3,469 3,469 3,797 3,46923,150 23,200 3,476 3,476 3,811 3,47623,200 23,250 3,484 3,484 3,825 3,48423,250 23,300 3,491 3,491 3,839 3,49123,300 23,350 3,499 3,499 3,853 3,49923,350 23,400 3,506 3,506 3,867 3,50623,400 23,450 3,514 3,514 3,881 3,51423,450 23,500 3,521 3,521 3,895 3,52123,500 23,550 3,529 3,529 3,909 3,52923,550 23,600 3,536 3,536 3,923 3,53623,600 23,650 3,544 3,544 3,937 3,54423,650 23,700 3,551 3,551 3,951 3,55123,700 23,750 3,559 3,559 3,965 3,55923,750 23,800 3,566 3,566 3,979 3,56623,800 23,850 3,574 3,574 3,993 3,57423,850 23,900 3,581 3,581 4,007 3,58123,900 23,950 3,589 3,589 4,021 3,58923,950 24,000 3,596 3,596 4,035 3,596

24,000 24,050 3,604 3,604 4,049 3,60424,050 24,100 3,611 3,611 4,063 3,61124,100 24,150 3,619 3,619 4,077 3,61924,150 24,200 3,626 3,626 4,091 3,62624,200 24,250 3,634 3,634 4,105 3,63424,250 24,300 3,641 3,641 4,119 3,64124,300 24,350 3,649 3,649 4,133 3,64924,350 24,400 3,656 3,656 4,147 3,65624,400 24,450 3,664 3,664 4,161 3,66424,450 24,500 3,671 3,671 4,175 3,67124,500 24,550 3,679 3,679 4,189 3,67924,550 24,600 3,686 3,686 4,203 3,68624,600 24,650 3,694 3,694 4,217 3,69424,650 24,700 3,705 3,701 4,231 3,70124,700 24,750 3,719 3,709 4,245 3,70924,750 24,800 3,733 3,716 4,259 3,71624,800 24,850 3,747 3,724 4,273 3,72424,850 24,900 3,761 3,731 4,287 3,73124,900 24,950 3,775 3,739 4,301 3,73924,950 25,000 3,789 3,746 4,315 3,746

25,000 25,050 3,803 3,754 4,329 3,75425,050 25,100 3,817 3,761 4,343 3,76125,100 25,150 3,831 3,769 4,357 3,76925,150 25,200 3,845 3,776 4,371 3,77625,200 25,250 3,859 3,784 4,385 3,78425,250 25,300 3,873 3,791 4,399 3,79125,300 25,350 3,887 3,799 4,413 3,79925,350 25,400 3,901 3,806 4,427 3,80625,400 25,450 3,915 3,814 4,441 3,81425,450 25,500 3,929 3,821 4,455 3,82125,500 25,550 3,943 3,829 4,469 3,82925,550 25,600 3,957 3,836 4,483 3,83625,600 25,650 3,971 3,844 4,497 3,84425,650 25,700 3,985 3,851 4,511 3,85125,700 25,750 3,999 3,859 4,525 3,85925,750 25,800 4,013 3,866 4,539 3,86625,800 25,850 4,027 3,874 4,553 3,87425,850 25,900 4,041 3,881 4,567 3,88125,900 25,950 4,055 3,889 4,581 3,88925,950 26,000 4,069 3,896 4,595 3,896

26,000 26,050 4,083 3,904 4,609 3,90426,050 26,100 4,097 3,911 4,623 3,91126,100 26,150 4,111 3,919 4,637 3,91926,150 26,200 4,125 3,926 4,651 3,92626,200 26,250 4,139 3,934 4,665 3,93426,250 26,300 4,153 3,941 4,679 3,94126,300 26,350 4,167 3,949 4,693 3,94926,350 26,400 4,181 3,956 4,707 3,95626,400 26,450 4,195 3,964 4,721 3,96426,450 26,500 4,209 3,971 4,735 3,97126,500 26,550 4,223 3,979 4,749 3,97926,550 26,600 4,237 3,986 4,763 3,98626,600 26,650 4,251 3,994 4,777 3,99426,650 26,700 4,265 4,001 4,791 4,00126,700 26,750 4,279 4,009 4,805 4,00926,750 26,800 4,293 4,016 4,819 4,01626,800 26,850 4,307 4,024 4,833 4,02426,850 26,900 4,321 4,031 4,847 4,03126,900 26,950 4,335 4,039 4,861 4,03926,950 27,000 4,349 4,046 4,875 4,046

27,000 27,050 4,363 4,054 4,889 4,05427,050 27,100 4,377 4,061 4,903 4,06127,100 27,150 4,391 4,069 4,917 4,06927,150 27,200 4,405 4,076 4,931 4,07627,200 27,250 4,419 4,084 4,945 4,08427,250 27,300 4,433 4,091 4,959 4,09127,300 27,350 4,447 4,099 4,973 4,09927,350 27,400 4,461 4,106 4,987 4,10627,400 27,450 4,475 4,114 5,001 4,11427,450 27,500 4,489 4,121 5,015 4,12127,500 27,550 4,503 4,129 5,029 4,12927,550 27,600 4,517 4,136 5,043 4,13627,600 27,650 4,531 4,144 5,057 4,14427,650 27,700 4,545 4,151 5,071 4,15127,700 27,750 4,559 4,159 5,085 4,15927,750 27,800 4,573 4,166 5,099 4,16627,800 27,850 4,587 4,174 5,113 4,17427,850 27,900 4,601 4,181 5,127 4,18127,900 27,950 4,615 4,189 5,141 4,18927,950 28,000 4,629 4,196 5,155 4,196

28,000 28,050 4,643 4,204 5,169 4,20428,050 28,100 4,657 4,211 5,183 4,21128,100 28,150 4,671 4,219 5,197 4,21928,150 28,200 4,685 4,226 5,211 4,22628,200 28,250 4,699 4,234 5,225 4,23428,250 28,300 4,713 4,241 5,239 4,24128,300 28,350 4,727 4,249 5,253 4,24928,350 28,400 4,741 4,256 5,267 4,25628,400 28,450 4,755 4,264 5,281 4,26428,450 28,500 4,769 4,271 5,295 4,27128,500 28,550 4,783 4,279 5,309 4,27928,550 28,600 4,797 4,286 5,323 4,28628,600 28,650 4,811 4,294 5,337 4,29428,650 28,700 4,825 4,301 5,351 4,30128,700 28,750 4,839 4,309 5,365 4,30928,750 28,800 4,853 4,316 5,379 4,31628,800 28,850 4,867 4,324 5,393 4,32428,850 28,900 4,881 4,331 5,407 4,33128,900 28,950 4,895 4,339 5,421 4,33928,950 29,000 4,909 4,346 5,435 4,346

29,000 29,050 4,923 4,354 5,449 4,35429,050 29,100 4,937 4,361 5,463 4,36129,100 29,150 4,951 4,369 5,477 4,36929,150 29,200 4,965 4,376 5,491 4,37629,200 29,250 4,979 4,384 5,505 4,38429,250 29,300 4,993 4,391 5,519 4,39129,300 29,350 5,007 4,399 5,533 4,39929,350 29,400 5,021 4,406 5,547 4,40629,400 29,450 5,035 4,414 5,561 4,41429,450 29,500 5,049 4,421 5,575 4,42129,500 29,550 5,063 4,429 5,589 4,42929,550 29,600 5,077 4,436 5,603 4,43629,600 29,650 5,091 4,444 5,617 4,44429,650 29,700 5,105 4,451 5,631 4,45129,700 29,750 5,119 4,459 5,645 4,45929,750 29,800 5,133 4,466 5,659 4,46629,800 29,850 5,147 4,474 5,673 4,47429,850 29,900 5,161 4,481 5,687 4,48129,900 29,950 5,175 4,489 5,701 4,48929,950 30,000 5,189 4,496 5,715 4,496

30,000 30,050 5,203 4,504 5,729 4,50430,050 30,100 5,217 4,511 5,743 4,51130,100 30,150 5,231 4,519 5,757 4,51930,150 30,200 5,245 4,526 5,771 4,52630,200 30,250 5,259 4,534 5,785 4,53430,250 30,300 5,273 4,541 5,799 4,54130,300 30,350 5,287 4,549 5,813 4,54930,350 30,400 5,301 4,556 5,827 4,55630,400 30,450 5,315 4,564 5,841 4,56430,450 30,500 5,329 4,571 5,855 4,57130,500 30,550 5,343 4,579 5,869 4,57930,550 30,600 5,357 4,586 5,883 4,58630,600 30,650 5,371 4,594 5,897 4,59430,650 30,700 5,385 4,601 5,911 4,60130,700 30,750 5,399 4,609 5,925 4,60930,750 30,800 5,413 4,616 5,939 4,61630,800 30,850 5,427 4,624 5,953 4,62430,850 30,900 5,441 4,631 5,967 4,63130,900 30,950 5,455 4,639 5,981 4,63930,950 31,000 5,469 4,646 5,995 4,646

31,000 31,050 5,483 4,654 6,009 4,65431,050 31,100 5,497 4,661 6,023 4,66131,100 31,150 5,511 4,669 6,037 4,66931,150 31,200 5,525 4,676 6,051 4,67631,200 31,250 5,539 4,684 6,065 4,68431,250 31,300 5,553 4,691 6,079 4,69131,300 31,350 5,567 4,699 6,093 4,69931,350 31,400 5,581 4,706 6,107 4,70631,400 31,450 5,595 4,714 6,121 4,71431,450 31,500 5,609 4,721 6,135 4,72131,500 31,550 5,623 4,729 6,149 4,72931,550 31,600 5,637 4,736 6,163 4,73631,600 31,650 5,651 4,744 6,177 4,74431,650 31,700 5,665 4,751 6,191 4,75131,700 31,750 5,679 4,759 6,205 4,75931,750 31,800 5,693 4,766 6,219 4,76631,800 31,850 5,707 4,774 6,233 4,77431,850 31,900 5,721 4,781 6,247 4,78131,900 31,950 5,735 4,789 6,261 4,78931,950 32,000 5,749 4,796 6,275 4,796






*


*


*



Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast


Continued on next pageContinued on next page* This column must also be used by a qualifying widow(er).


32,000

33,000

34,000

35,000

36,000

37,000

38,000

39,000

40,000

32,000 32,050 5,763 4,804 6,289 4,80432,050 32,100 5,777 4,811 6,303 4,81132,100 32,150 5,791 4,819 6,317 4,81932,150 32,200 5,805 4,826 6,331 4,82632,200 32,250 5,819 4,834 6,345 4,83432,250 32,300 5,833 4,841 6,359 4,84132,300 32,350 5,847 4,849 6,373 4,84932,350 32,400 5,861 4,856 6,387 4,85632,400 32,450 5,875 4,864 6,401 4,86432,450 32,500 5,889 4,871 6,415 4,87132,500 32,550 5,903 4,879 6,429 4,87932,550 32,600 5,917 4,886 6,443 4,88632,600 32,650 5,931 4,894 6,457 4,89432,650 32,700 5,945 4,901 6,471 4,90132,700 32,750 5,959 4,909 6,485 4,90932,750 32,800 5,973 4,916 6,499 4,91632,800 32,850 5,987 4,924 6,513 4,92432,850 32,900 6,001 4,931 6,527 4,93132,900 32,950 6,015 4,939 6,541 4,93932,950 33,000 6,029 4,946 6,555 4,946

33,000 33,050 6,043 4,954 6,569 4,95433,050 33,100 6,057 4,961 6,583 4,96533,100 33,150 6,071 4,969 6,597 4,97933,150 33,200 6,085 4,976 6,611 4,99333,200 33,250 6,099 4,984 6,625 5,00733,250 33,300 6,113 4,991 6,639 5,02133,300 33,350 6,127 4,999 6,653 5,03533,350 33,400 6,141 5,006 6,667 5,04933,400 33,450 6,155 5,014 6,681 5,06333,450 33,500 6,169 5,021 6,695 5,07733,500 33,550 6,183 5,029 6,709 5,09133,550 33,600 6,197 5,036 6,723 5,10533,600 33,650 6,211 5,044 6,737 5,11933,650 33,700 6,225 5,051 6,751 5,13333,700 33,750 6,239 5,059 6,765 5,14733,750 33,800 6,253 5,066 6,779 5,16133,800 33,850 6,267 5,074 6,793 5,17533,850 33,900 6,281 5,081 6,807 5,18933,900 33,950 6,295 5,089 6,821 5,20333,950 34,000 6,309 5,096 6,835 5,217

34,000 34,050 6,323 5,104 6,849 5,23134,050 34,100 6,337 5,111 6,863 5,24534,100 34,150 6,351 5,119 6,877 5,25934,150 34,200 6,365 5,126 6,891 5,27334,200 34,250 6,379 5,134 6,905 5,28734,250 34,300 6,393 5,141 6,919 5,30134,300 34,350 6,407 5,149 6,933 5,31534,350 34,400 6,421 5,156 6,947 5,32934,400 34,450 6,435 5,164 6,961 5,34334,450 34,500 6,449 5,171 6,975 5,35734,500 34,550 6,463 5,179 6,989 5,37134,550 34,600 6,477 5,186 7,003 5,38534,600 34,650 6,491 5,194 7,017 5,39934,650 34,700 6,505 5,201 7,031 5,41334,700 34,750 6,519 5,209 7,045 5,42734,750 34,800 6,533 5,216 7,059 5,44134,800 34,850 6,547 5,224 7,073 5,45534,850 34,900 6,561 5,231 7,087 5,46934,900 34,950 6,575 5,239 7,101 5,48334,950 35,000 6,589 5,246 7,115 5,497

35,000 35,050 6,603 5,254 7,129 5,51135,050 35,100 6,617 5,261 7,143 5,52535,100 35,150 6,631 5,269 7,157 5,53935,150 35,200 6,645 5,276 7,171 5,55335,200 35,250 6,659 5,284 7,185 5,56735,250 35,300 6,673 5,291 7,199 5,58135,300 35,350 6,687 5,299 7,213 5,59535,350 35,400 6,701 5,306 7,227 5,60935,400 35,450 6,715 5,314 7,241 5,62335,450 35,500 6,729 5,321 7,255 5,63735,500 35,550 6,743 5,329 7,269 5,65135,550 35,600 6,757 5,336 7,283 5,66535,600 35,650 6,771 5,344 7,297 5,67935,650 35,700 6,785 5,351 7,311 5,69335,700 35,750 6,799 5,359 7,325 5,70735,750 35,800 6,813 5,366 7,339 5,72135,800 35,850 6,827 5,374 7,353 5,73535,850 35,900 6,841 5,381 7,367 5,74935,900 35,950 6,855 5,389 7,381 5,76335,950 36,000 6,869 5,396 7,395 5,777

36,000 36,050 6,883 5,404 7,409 5,79136,050 36,100 6,897 5,411 7,423 5,80536,100 36,150 6,911 5,419 7,437 5,81936,150 36,200 6,925 5,426 7,451 5,83336,200 36,250 6,939 5,434 7,465 5,84736,250 36,300 6,953 5,441 7,479 5,86136,300 36,350 6,967 5,449 7,493 5,87536,350 36,400 6,981 5,456 7,507 5,88936,400 36,450 6,995 5,464 7,521 5,90336,450 36,500 7,009 5,471 7,535 5,91736,500 36,550 7,023 5,479 7,549 5,93136,550 36,600 7,037 5,486 7,563 5,94536,600 36,650 7,051 5,494 7,577 5,95936,650 36,700 7,065 5,501 7,591 5,97336,700 36,750 7,079 5,509 7,605 5,98736,750 36,800 7,093 5,516 7,619 6,00136,800 36,850 7,107 5,524 7,633 6,01536,850 36,900 7,121 5,531 7,647 6,02936,900 36,950 7,135 5,539 7,661 6,04336,950 37,000 7,149 5,546 7,675 6,057

37,000 37,050 7,163 5,554 7,689 6,07137,050 37,100 7,177 5,561 7,703 6,08537,100 37,150 7,191 5,569 7,717 6,09937,150 37,200 7,205 5,576 7,731 6,11337,200 37,250 7,219 5,584 7,745 6,12737,250 37,300 7,233 5,591 7,759 6,14137,300 37,350 7,247 5,599 7,773 6,15537,350 37,400 7,261 5,606 7,787 6,16937,400 37,450 7,275 5,614 7,801 6,18337,450 37,500 7,289 5,621 7,815 6,19737,500 37,550 7,303 5,629 7,829 6,21137,550 37,600 7,317 5,636 7,843 6,22537,600 37,650 7,331 5,644 7,857 6,23937,650 37,700 7,345 5,651 7,871 6,25337,700 37,750 7,359 5,659 7,885 6,26737,750 37,800 7,373 5,666 7,899 6,28137,800 37,850 7,387 5,674 7,913 6,29537,850 37,900 7,401 5,681 7,927 6,30937,900 37,950 7,415 5,689 7,941 6,32337,950 38,000 7,429 5,696 7,955 6,337

38,000 38,050 7,443 5,704 7,969 6,35138,050 38,100 7,457 5,711 7,983 6,36538,100 38,150 7,471 5,719 7,997 6,37938,150 38,200 7,485 5,726 8,011 6,39338,200 38,250 7,499 5,734 8,025 6,40738,250 38,300 7,513 5,741 8,039 6,42138,300 38,350 7,527 5,749 8,053 6,43538,350 38,400 7,541 5,756 8,067 6,44938,400 38,450 7,555 5,764 8,081 6,46338,450 38,500 7,569 5,771 8,095 6,47738,500 38,550 7,583 5,779 8,109 6,49138,550 38,600 7,597 5,786 8,123 6,50538,600 38,650 7,611 5,794 8,137 6,51938,650 38,700 7,625 5,801 8,151 6,53338,700 38,750 7,639 5,809 8,165 6,54738,750 38,800 7,653 5,816 8,179 6,56138,800 38,850 7,667 5,824 8,193 6,57538,850 38,900 7,681 5,831 8,207 6,58938,900 38,950 7,695 5,839 8,221 6,60338,950 39,000 7,709 5,846 8,235 6,617

39,000 39,050 7,723 5,854 8,249 6,63139,050 39,100 7,737 5,861 8,263 6,64539,100 39,150 7,751 5,869 8,277 6,65939,150 39,200 7,765 5,876 8,291 6,67339,200 39,250 7,779 5,884 8,305 6,68739,250 39,300 7,793 5,891 8,319 6,70139,300 39,350 7,807 5,899 8,333 6,71539,350 39,400 7,821 5,906 8,347 6,72939,400 39,450 7,835 5,914 8,361 6,74339,450 39,500 7,849 5,921 8,375 6,75739,500 39,550 7,863 5,929 8,389 6,77139,550 39,600 7,877 5,936 8,403 6,78539,600 39,650 7,891 5,944 8,417 6,79939,650 39,700 7,905 5,951 8,431 6,81339,700 39,750 7,919 5,959 8,445 6,82739,750 39,800 7,933 5,966 8,459 6,84139,800 39,850 7,947 5,974 8,473 6,85539,850 39,900 7,961 5,981 8,487 6,86939,900 39,950 7,975 5,989 8,501 6,88339,950 40,000 7,989 5,996 8,515 6,897

40,000 40,050 8,003 6,004 8,529 6,91140,050 40,100 8,017 6,011 8,543 6,92540,100 40,150 8,031 6,019 8,557 6,93940,150 40,200 8,045 6,026 8,571 6,95340,200 40,250 8,059 6,034 8,585 6,96740,250 40,300 8,073 6,041 8,599 6,98140,300 40,350 8,087 6,049 8,613 6,99540,350 40,400 8,101 6,056 8,627 7,00940,400 40,450 8,115 6,064 8,641 7,02340,450 40,500 8,129 6,071 8,655 7,03740,500 40,550 8,143 6,079 8,669 7,05140,550 40,600 8,157 6,086 8,683 7,06540,600 40,650 8,171 6,094 8,697 7,07940,650 40,700 8,185 6,101 8,711 7,09340,700 40,750 8,199 6,109 8,725 7,10740,750 40,800 8,213 6,116 8,739 7,12140,800 40,850 8,227 6,124 8,753 7,13540,850 40,900 8,241 6,131 8,767 7,14940,900 40,950 8,255 6,139 8,781 7,16340,950 41,000 8,269 6,146 8,795 7,177



50,000 or over — use Form 1040




*


*


*



Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast

Headof ahouse-hold


Butlessthan

Atleast


* This column must also be used by a qualifying widow(er).

41,000

42,000

43,000

44,000

45,000

46,000

47,000

48,000

49,000

41,000 41,050 8,283 6,154 8,809 7,19141,050 41,100 8,297 6,161 8,823 7,20541,100 41,150 8,311 6,169 8,837 7,21941,150 41,200 8,325 6,176 8,851 7,23341,200 41,250 8,339 6,187 8,865 7,24741,250 41,300 8,353 6,201 8,879 7,26141,300 41,350 8,367 6,215 8,893 7,27541,350 41,400 8,381 6,229 8,907 7,28941,400 41,450 8,395 6,243 8,921 7,30341,450 41,500 8,409 6,257 8,935 7,31741,500 41,550 8,423 6,271 8,949 7,33141,550 41,600 8,437 6,285 8,963 7,34541,600 41,650 8,451 6,299 8,977 7,35941,650 41,700 8,465 6,313 8,991 7,37341,700 41,750 8,479 6,327 9,005 7,38741,750 41,800 8,493 6,341 9,019 7,40141,800 41,850 8,507 6,355 9,033 7,41541,850 41,900 8,521 6,369 9,047 7,42941,900 41,950 8,535 6,383 9,061 7,44341,950 42,000 8,549 6,397 9,075 7,457

42,000 42,050 8,563 6,411 9,089 7,47142,050 42,100 8,577 6,425 9,103 7,48542,100 42,150 8,591 6,439 9,117 7,49942,150 42,200 8,605 6,453 9,131 7,51342,200 42,250 8,619 6,467 9,145 7,52742,250 42,300 8,633 6,481 9,159 7,54142,300 42,350 8,647 6,495 9,173 7,55542,350 42,400 8,661 6,509 9,187 7,56942,400 42,450 8,675 6,523 9,201 7,58342,450 42,500 8,689 6,537 9,215 7,59742,500 42,550 8,703 6,551 9,229 7,61142,550 42,600 8,717 6,565 9,243 7,62542,600 42,650 8,731 6,579 9,257 7,63942,650 42,700 8,745 6,593 9,271 7,65342,700 42,750 8,759 6,607 9,285 7,66742,750 42,800 8,773 6,621 9,299 7,68142,800 42,850 8,787 6,635 9,313 7,69542,850 42,900 8,801 6,649 9,327 7,70942,900 42,950 8,815 6,663 9,341 7,72342,950 43,000 8,829 6,677 9,355 7,737

43,000 43,050 8,843 6,691 9,369 7,75143,050 43,100 8,857 6,705 9,383 7,76543,100 43,150 8,871 6,719 9,397 7,77943,150 43,200 8,885 6,733 9,411 7,79343,200 43,250 8,899 6,747 9,425 7,80743,250 43,300 8,913 6,761 9,439 7,82143,300 43,350 8,927 6,775 9,453 7,83543,350 43,400 8,941 6,789 9,467 7,84943,400 43,450 8,955 6,803 9,481 7,86343,450 43,500 8,969 6,817 9,495 7,87743,500 43,550 8,983 6,831 9,509 7,89143,550 43,600 8,997 6,845 9,523 7,90543,600 43,650 9,011 6,859 9,537 7,91943,650 43,700 9,025 6,873 9,551 7,93343,700 43,750 9,039 6,887 9,565 7,94743,750 43,800 9,053 6,901 9,579 7,96143,800 43,850 9,067 6,915 9,593 7,97543,850 43,900 9,081 6,929 9,607 7,98943,900 43,950 9,095 6,943 9,621 8,00343,950 44,000 9,109 6,957 9,635 8,017

44,000 44,050 9,123 6,971 9,649 8,03144,050 44,100 9,137 6,985 9,663 8,04544,100 44,150 9,151 6,999 9,677 8,05944,150 44,200 9,165 7,013 9,691 8,07344,200 44,250 9,179 7,027 9,705 8,08744,250 44,300 9,193 7,041 9,719 8,10144,300 44,350 9,207 7,055 9,733 8,11544,350 44,400 9,221 7,069 9,747 8,12944,400 44,450 9,235 7,083 9,761 8,14344,450 44,500 9,249 7,097 9,775 8,15744,500 44,550 9,263 7,111 9,789 8,17144,550 44,600 9,277 7,125 9,803 8,18544,600 44,650 9,291 7,139 9,817 8,19944,650 44,700 9,305 7,153 9,831 8,21344,700 44,750 9,319 7,167 9,845 8,22744,750 44,800 9,333 7,181 9,859 8,24144,800 44,850 9,347 7,195 9,873 8,25544,850 44,900 9,361 7,209 9,887 8,26944,900 44,950 9,375 7,223 9,901 8,28344,950 45,000 9,389 7,237 9,915 8,297

45,000 45,050 9,403 7,251 9,929 8,31145,050 45,100 9,417 7,265 9,943 8,32545,100 45,150 9,431 7,279 9,957 8,33945,150 45,200 9,445 7,293 9,971 8,35345,200 45,250 9,459 7,307 9,985 8,36745,250 45,300 9,473 7,321 9,999 8,38145,300 45,350 9,487 7,335 10,013 8,39545,350 45,400 9,501 7,349 10,027 8,40945,400 45,450 9,515 7,363 10,041 8,42345,450 45,500 9,529 7,377 10,055 8,43745,500 45,550 9,543 7,391 10,069 8,45145,550 45,600 9,557 7,405 10,083 8,46545,600 45,650 9,571 7,419 10,097 8,47945,650 45,700 9,585 7,433 10,111 8,49345,700 45,750 9,599 7,447 10,125 8,50745,750 45,800 9,613 7,461 10,139 8,52145,800 45,850 9,627 7,475 10,153 8,53545,850 45,900 9,641 7,489 10,167 8,54945,900 45,950 9,655 7,503 10,181 8,56345,950 46,000 9,669 7,517 10,195 8,577

46,000 46,050 9,683 7,531 10,209 8,59146,050 46,100 9,697 7,545 10,223 8,60546,100 46,150 9,711 7,559 10,237 8,61946,150 46,200 9,725 7,573 10,251 8,63346,200 46,250 9,739 7,587 10,265 8,64746,250 46,300 9,753 7,601 10,279 8,66146,300 46,350 9,767 7,615 10,293 8,67546,350 46,400 9,781 7,629 10,307 8,68946,400 46,450 9,795 7,643 10,321 8,70346,450 46,500 9,809 7,657 10,335 8,71746,500 46,550 9,823 7,671 10,349 8,73146,550 46,600 9,837 7,685 10,363 8,74546,600 46,650 9,851 7,699 10,377 8,75946,650 46,700 9,865 7,713 10,391 8,77346,700 46,750 9,879 7,727 10,405 8,78746,750 46,800 9,893 7,741 10,419 8,80146,800 46,850 9,907 7,755 10,433 8,81546,850 46,900 9,921 7,769 10,447 8,82946,900 46,950 9,935 7,783 10,461 8,84346,950 47,000 9,949 7,797 10,475 8,857

47,000 47,050 9,963 7,811 10,489 8,87147,050 47,100 9,977 7,825 10,503 8,88547,100 47,150 9,991 7,839 10,517 8,89947,150 47,200 10,005 7,853 10,531 8,91347,200 47,250 10,019 7,867 10,545 8,92747,250 47,300 10,033 7,881 10,559 8,94147,300 47,350 10,047 7,895 10,573 8,95547,350 47,400 10,061 7,909 10,587 8,96947,400 47,450 10,075 7,923 10,601 8,98347,450 47,500 10,089 7,937 10,615 8,99747,500 47,550 10,103 7,951 10,629 9,01147,550 47,600 10,117 7,965 10,643 9,02547,600 47,650 10,131 7,979 10,657 9,03947,650 47,700 10,145 7,993 10,671 9,05347,700 47,750 10,159 8,007 10,685 9,06747,750 47,800 10,173 8,021 10,699 9,08147,800 47,850 10,187 8,035 10,713 9,09547,850 47,900 10,201 8,049 10,727 9,10947,900 47,950 10,215 8,063 10,741 9,12347,950 48,000 10,229 8,077 10,755 9,137

48,000 48,050 10,243 8,091 10,769 9,15148,050 48,100 10,257 8,105 10,783 9,16548,100 48,150 10,271 8,119 10,797 9,17948,150 48,200 10,285 8,133 10,811 9,19348,200 48,250 10,299 8,147 10,825 9,20748,250 48,300 10,313 8,161 10,839 9,22148,300 48,350 10,327 8,175 10,853 9,23548,350 48,400 10,341 8,189 10,867 9,24948,400 48,450 10,355 8,203 10,881 9,26348,450 48,500 10,369 8,217 10,895 9,27748,500 48,550 10,383 8,231 10,909 9,29148,550 48,600 10,397 8,245 10,923 9,30548,600 48,650 10,411 8,259 10,937 9,31948,650 48,700 10,425 8,273 10,951 9,33348,700 48,750 10,439 8,287 10,965 9,34748,750 48,800 10,453 8,301 10,979 9,36148,800 48,850 10,467 8,315 10,993 9,37548,850 48,900 10,481 8,329 11,007 9,38948,900 48,950 10,495 8,343 11,021 9,40348,950 49,000 10,509 8,357 11,035 9,417

49,000 49,050 10,523 8,371 11,049 9,43149,050 49,100 10,537 8,385 11,063 9,44549,100 49,150 10,551 8,399 11,077 9,45949,150 49,200 10,565 8,413 11,091 9,47349,200 49,250 10,579 8,427 11,105 9,48749,250 49,300 10,593 8,441 11,119 9,50149,300 49,350 10,607 8,455 11,133 9,51549,350 49,400 10,621 8,469 11,147 9,52949,400 49,450 10,635 8,483 11,161 9,54349,450 49,500 10,649 8,497 11,175 9,55749,500 49,550 10,663 8,511 11,189 9,57149,550 49,600 10,677 8,525 11,203 9,58549,600 49,650 10,691 8,539 11,217 9,59949,650 49,700 10,705 8,553 11,231 9,61349,700 49,750 10,719 8,567 11,245 9,62749,750 49,800 10,733 8,581 11,259 9,64149,800 49,850 10,747 8,595 11,274 9,65549,850 49,900 10,761 8,609 11,289 9,66949,900 49,950 10,775 8,623 11,305 9,68349,950 50,000 10,789 8,637 11,320 9,697




Instructions for Schedules to Form 1040A

Instructions for Schedule 1

Purpose of ScheduleYou must file Schedule 1 if:● You had over $400 of taxable interest income (fill

in Part I), or● You received interest from a seller-financed

mortgage and the buyer used the property as apersonal residence (fill in Part I), or

● You are claiming the exclusion of interest fromseries EE U.S. savings bonds issued after 1989 (fillin Part I), or

● You received interest as a nominee or a Form1099-INT for tax-exempt interest (fill in Part I), or

● You had over $400 of dividend income or youreceived dividends as a nominee (fill in Part II).

If you need more space to list yourinterest or dividends, attach separatesheets that are the same size as Schedule1. Use the same format as lines 1 and 5,but show your totals on Schedule 1. Besure to put your name and social securitynumber on the sheets and attach them atthe end of Form 1040A.

Part I

Interest Income

Line 1Report on line 1 all of your taxable interest income.Include interest from series EE U.S. savings bonds.List each payer’s name and show the amount.Seller-Financed Mortgages. If you sold your home orother property and the buyer used the property as apersonal residence, list first any interest the buyer paidyou on a mortgage or other form of seller financing. Besure to show the buyer’s name, address, and socialsecurity number (SSN). You must also let the buyerknow your SSN. If you do not show the buyer’s name,address, and SSN and let the buyer know your SSN,you may have to pay a $50 penalty.Nominees. If you received a Form 1099-INT thatincludes interest you received as a nominee (that is, inyour name, but the interest actually belongs tosomeone else), report the total on line 1. Do this evenif you later distributed some or all of this income toothers. Under your last entry on line 1, put a subtotalof all interest listed on line 1. Below this subtotal, print“NOMINEE DISTRIBUTION” and show the total interestyou received as a nominee. Subtract this amount fromthe subtotal and enter the result on line 2.

If you received interest as a nominee, youmust give the actual owner a Form1099-INT unless the owner is your spouse.You must also file a Form 1096 and aForm 1099-INT with the IRS. For moredetails, see the Instructions for Forms1099, 1098, 5498, and W-2G.

Tax-Exempt Interest. If you received a Form1099-INT for tax-exempt interest, report it on line 1.But do not include it in the total on line 2. Instead,under your last entry on line 1, put a subtotal of allinterest listed. Below the subtotal, print “TAX-EXEMPTINTEREST” and show the amount. Subtract it from thesubtotal and enter the result on line 2. Be sure to alsoinclude this tax-exempt interest on Form 1040A, line8b.

Line 3Excludable Interest on Series EE U.S. SavingsBonds Issued After 1989. If you cashed series EEU.S. savings bonds in 1997 that were issued after1989 and you paid qualified higher education expensesin 1997 for yourself, your spouse, or your dependents,you may be able to exclude part or all of the intereston those bonds. See Form 8815 for details.

Part II

Dividend Income

Line 5Report on line 5 all of your dividend income. List eachpayer’s name and show the amount.Nominees. If you received a Form 1099-DIV thatincludes dividends you received as a nominee (that is,in your name, but the dividends actually belong tosomeone else), report the total on line 5. Do this evenif you later distributed some or all of this income toothers. Under your last entry on line 5, put a subtotalof all dividends listed on line 5. Below this subtotal,print “NOMINEE DISTRIBUTION” and show the totaldividends you received as a nominee. Subtract thisamount from the subtotal and enter the result online 6.

If you received dividends as a nominee,you must give the actual owner a Form1099-DIV unless the owner is your spouse.You must also file a Form 1096 and aForm 1099-DIV with the IRS. For moredetails, see the Instructions for Forms1099, 1098, 5498, and W-2G.

Instructions for Schedule 2

A Change To NoteIf you are claiming the credit for child and dependentcare expenses, you must complete new line 2 for eachqualifying person (defined below). If you do not enterthe information requested, we may reduce or disallowyour credit.

Purpose of ScheduleIf you paid someone to care for your child or otherqualifying person so you (and your spouse if filing ajoint return) could work or look for work in 1997, youmay be able to take the credit for child and dependentcare expenses. But you must have had earned incometo do so. If you can take the credit, use Schedule 2 tofigure the amount of your credit.

If you received any dependent care benefits for1997, you MUST use Schedule 2 to figure the amount,if any, of the benefits you may exclude from yourincome on Form 1040A, line 7. You must completePart III of Schedule 2 before you can figure the credit,if any, in Part II.

DefinitionsDependent Care Benefits. These include amountsyour employer paid directly to either you or your careprovider for the care of your qualifying person(s) whileyou worked. These benefits also include the fair marketvalue of care in a day-care facility provided orsponsored by your employer. Your salary may havebeen reduced to pay for these benefits. If you receiveddependent care benefits, they should be shown in box10 of your 1997 W-2 form(s).Qualifying Person(s). A qualifying person is:● Any child under age 13 whom you can claim as a

dependent (but see Exception for children ofdivorced or separated parents below). If the childturned 13 during the year, the child is a qualifyingperson for the part of the year he or she wasunder age 13.

● Your disabled spouse who is not able to care forhimself or herself.

● Any disabled person not able to care for himself orherself whom you can claim as a dependent (orcould claim as a dependent except that the personhad gross income of $2,650 or more). But if thisperson is your child, see Exception for children ofdivorced or separated parents below.

To find out who is a dependent, see the instructionsfor Form 1040A, line 6c, that begin on page 16.Caution: To be a qualifying person, the person musthave shared the same home with you in 1997.

Exception for children of divorced or separatedparents. If you were divorced, legally separated, orlived apart from your spouse during the last 6 monthsof 1997, you may be able to take the credit or theexclusion even if your child is not your dependent. Ifyour child is not your dependent, he or she is aqualifying person only if all five of the following apply.

1. You had custody of the child for a longer time in1997 than the other parent. See Pub. 501 for thedefinition of custody.

2. One or both of the parents provided over half ofthe child’s support in 1997.

3. One or both of the parents had custody of thechild for more than half of 1997.

4. The child was under age 13 or was disabled andcould not take care of himself or herself.

5. The other parent claims the child as a dependentunder the rules for Children of Divorced orSeparated Parents on page 17.

If this exception applies, the other parent cannottreat the child as a qualifying person even though theother parent claims the child as a dependent.Qualified Expenses. These include amounts paid forhousehold services and care of the qualifying personwhile you worked or looked for work. Child supportpayments are not qualified expenses. Also, expensesreimbursed by a state social service agency are notqualified expenses unless you included thereimbursement in your income.

Household services. These are services needed tocare for the qualifying person as well as to run thehome. They include, for example, the services of acook, maid, babysitter, housekeeper, or cleaningperson if the services were partly for the care of thequalifying person. Do not include services of achauffeur or gardener.

You may also include your share of the employmenttaxes paid on wages for qualifying child anddependent care services.

Care of the qualifying person. Care includes thecost of services for the qualifying person’s well-beingand protection. It does not include the cost of clothingor entertainment.

You may include the cost of care provided outsideyour home for your dependent under age 13 or anyother qualifying person who regularly spends at least 8hours a day in your home. If the care was provided bya dependent care center, the center must meet allapplicable state and local regulations. A dependentcare center is a place that provides care for more thansix persons (other than persons who live there) andreceives a fee, payment, or grant for providing servicesfor any of those persons, even if the center is not runfor profit.

You may include amounts paid for items other thanthe care of your child (such as food and schooling)only if the items are incidental to the care of the childand cannot be separated from the total cost. But donot include the cost of schooling for a child in the firstgrade or above. Also, do not include any expenses forsending your child to an overnight camp.

Medical expenses. Some disabled spouse anddependent care expenses may qualify as medicalexpenses if you itemize deductions. But you must useForm 1040. See Pub. 503 and Pub. 502 for details.Earned Income. Earned income includes the followingamounts.● The amount shown on Form 1040A, line 7, minus

any amount included for a scholarship orfellowship grant that was not reported to you on a

W-2 form. For purposes of Part III of Schedule 2,earned income does not include any dependentcare benefits shown on line 10 of Schedule 2.

● Certain nontaxable earned income such as mealsand lodging provided for the convenience of youremployer. See Pub. 503 for details. However,including this income will only give you a largercredit or exclusion if your (or your spouse’s) otherearned income is less than the amount entered onSchedule 2, line 3 or line 14, whichever applies.

Special situations. If you are filing a joint return,disregard community property laws. If your spousedied in 1997 and had no earned income, see Pub. 503.If your spouse was a student or disabled in 1997, seethe line 5 instructions on page 52.

Who May Take the Credit or ExcludeDependent Care Benefits?You may take the credit or the exclusion if all six ofthe following apply.1. Your filing status is single, head of household,

qualifying widow(er) with dependent child, ormarried filing jointly. But see Married PersonsFiling Separate Returns on this page.

2. The care was provided so you (and your spouse ifyou were married) could work or look for work.However, if you did not find a job and have noearned income for the year, you cannot take thecredit or the exclusion. But if your spouse was astudent or disabled, see the line 5 instructions onpage 52.

3. You (and your spouse if you were married) paidover half the cost of keeping up your home. UseTeleTax topic 602 (see page 40) or see Pub. 503for an explanation of what costs are included.

4. You and the qualifying person(s) lived in the samehome.

5. The person who provided the care was not yourspouse or a person whom you can claim as adependent. If your child provided the care, he orshe must have been age 19 or older by the end of1997.

6. You report the required information about the careprovider on line 1 and, if taking the credit, theinformation about the qualifying person on line 2.

Married Persons Filing Separate Returns. If yourfiling status is married filing separately and all of thefollowing apply, you are considered unmarried forpurposes of figuring the credit and the exclusion onSchedule 2.● You lived apart from your spouse during the last 6

months of 1997, and● The qualifying person lived in your home more than

half of 1997, and● You provided over half the cost of keeping up your

home.If you meet all the requirements to be treated as

unmarried and meet items 2 through 6 listed earlier,you may take the credit or the exclusion. If you do notmeet all the requirements to be treated as unmarried,you cannot take the credit. However, you may takethe exclusion if you meet items 2 through 6.

Part IPersons or Organizations Who Provided the Care

Line 1Complete columns (a) through (d) for each person ororganization that provided the care. You can use FormW-10 or any other source listed in its instructions toget the information from the care provider. If you donot give correct or complete information, your credit(and exclusion, if applicable) may be disallowed unlessyou can show you used due diligence in trying to getthe required information.Due Diligence. You can show a serious and earnesteffort (due diligence) to get the information by keepingin your records a Form W-10 completed by the careprovider. Or you may keep one of the other sources ofinformation listed in the instructions for Form W-10. Ifthe provider does not give you the information,complete the entries you can on line 1 of Schedule 2.For example, enter the provider’s name and address.Print “SEE PAGE 2” in the columns for which you donot have the information. Then, on the bottom of page2, explain that the provider did not give you theinformation you requested.Columns (a) and (b). Print the care provider’s nameand address. If you were covered by your employer’sdependent care plan and your employer furnished thecare (either at your workplace or by hiring a careprovider), print your employer’s name in column (a).Next, print “SEE W-2” in column (b). Then, leavecolumns (c) and (d) blank. But if your employer paid athird party (not hired by your employer) on your behalfto provide the care, you must give information on thethird party in columns (a) through (d).Column (c). If the care provider is an individual, enterhis or her social security number (SSN). Otherwise,enter the provider’s employer identification number(EIN). If the provider is a tax-exempt organization, print“TAXEXEMPT.”Column (d). Enter the total amount you actually paidin 1997 to the care provider. Also, include amountsyour employer paid to a third party on your behalf. Itdoes not matter when the expenses were incurred. Donot reduce this amount by any reimbursement youreceived.

Part IICredit for Child and Dependent Care Expenses

Line 2Complete columns (a) through (c) for each qualifyingperson. If you have more than two qualifying persons,attach a statement to your return with the requiredinformation. Be sure to put your name and socialsecurity number (SSN) on the statement. Also, print“SEE ATTACHED” on the line next to line 3.Column (a). Print each qualifying person’s name.Column (b). You must enter the qualifying person’sSSN unless he or she was born and died in 1997. Ifyou do not enter the correct SSN, at the time weprocess your return, we may reduce or disallow yourcredit. If the person was born and died in 1997 anddid not have an SSN, print “DIED” in column (b) and

attach a copy of the person’s birth certificate. To findout how to get an SSN, see Social Security Number(SSN) on page 14.Column (c). Enter the qualified expenses you incurredand paid in 1997 for the person listed in column (a).

Do not include in column (c) qualified expenses—● You incurred in 1997 but did not pay until 1998.

You may be able to use these expenses toincrease your 1998 credit.

● You incurred in 1996 but did not pay until 1997.Instead, see Prior Year’s Expenses on this page.

● You prepaid in 1997 for care to be provided in1998. These expenses may only be used to figureyour 1998 credit.

Line 5Spouse Who Was a Student or Disabled. Yourspouse was a student if he or she was enrolled as afull-time student at a school during any 5 months of1997. A school does not include a night school orcorrespondence school. Your spouse was disabled ifhe or she was not capable of self-care. Figure yourspouse’s earned income on a monthly basis.

For each month or part of a month your spouse wasa student or was disabled, he or she is considered tohave worked and earned income. His or her earnedincome for each month is considered to be at least$200 ($400 if more than one qualifying person wascared for in 1997). If your spouse also worked duringthat month, use the higher of $200 (or $400) or his orher actual earned income for that month. If, in thesame month, both you and your spouse were eitherstudents or disabled, only one of you can be treatedas having earned income in that month.

For any month that your spouse was not a studentor disabled, use your spouse’s actual earned income ifhe or she worked during the month.

Line 9If you had qualified expenses for 1996 that you did notpay until 1997, see Prior Year’s Expenses next.Otherwise, see Credit Limit on this page.

Prior Year’s Expenses. If you had qualified expensesfor 1996 that you did not pay until 1997, you may beable to increase the amount of credit you can take in1997. For details, see Amount of Credit in Pub. 503. Ifyou can take a credit for your 1996 expenses, print“PYE” and the amount of the credit next to line 9.Also, enter the name and social security number of theperson for whom you paid the prior year’s expensesnext to this amount. Then, add the credit to theamount on line 9 and replace the amount on line 9with that total. Also, attach a statement showing howyou figured the credit. See Credit Limit next.Credit Limit. Add the amounts on Form 1040A, lines8b and 17. If the total is not over (a) $45,000 if marriedfiling jointly or qualifying widow(er), (b) $33,750 if singleor head of household, or (c) $22,500 if married filingseparately, your credit is not limited. Enter on Form1040A, line 24a, the amount from Schedule 2, line 9. Ifthe total is over the dollar amount for your filing status,your credit may be limited. To figure the amount ofcredit you may claim, first complete lines 1 through 7of the Alternative Minimum Tax Worksheet on page25. Then, complete the worksheet below.

Part IIIDependent Care Benefits

Line 11If you had a flexible spending account, any amountincluded on line 10 that you did not receive becauseyou did not incur the expense is considered forfeited.Enter the forfeited amount on line 11. Do not includeamounts you expect to receive at a future date.Example. Under your employer’s dependent care plan,you chose to have your employer set aside $5,000 tocover your 1997 dependent care expenses. The $5,000is shown in box 10 of your W-2 form. In 1997, youincurred and were reimbursed for $4,950 of qualifiedexpenses. You would enter $5,000 on line 10 and $50,the amount forfeited, on line 11.

1. Enter the amount from Form 1040A, line 232. Enter the amount from line 7 of the Alternative Minimum Tax Worksheet on page 253.

Enter the amount from Schedule 2, line 94.Look at lines 3 and 4 above. If line 4 is equal to or less than line 3, your credit is not limited. Enter theamount from line 4 on Form 1040A, line 24a. If line 4 is more than line 3, enter the amount from line 3on Form 1040A, line 24a. Print “AMT” next to line 24a and replace the amount on Schedule 2, line 9,with that amount.

1.2.3.4.

Subtract line 2 from line 1

Credit Limit Worksheet—Line 9 (keep for your records)

Line 13Enter the total of all qualified expenses incurred in1997 for the care of your qualifying person(s). It doesnot matter when the expenses were paid.Example. You received $2,000 in cash under youremployer’s dependent care plan for 1997. The $2,000is shown in box 10 of your W-2 form. Only $900 ofqualified expenses were incurred in 1997 for the careof your 5-year-old dependent child. You would enter$2,000 on line 10 and $900 on line 13.

Line 16If your filing status is married filing separately, seeMarried Persons Filing Separate Returns on page51. If you are considered unmarried under that rule,enter your earned income (from line 15) on line 16. Online 18, enter the smaller of the amount from line 17 or$5,000. If you are not considered unmarried under thatrule, enter your spouse’s earned income on line 16. Ifyour spouse was a student or disabled in 1997, seethe line 5 instructions. On line 18, enter the smaller ofthe amount from line 17 or $2,500.

Major Categories of Federal Income and Outlays for Fiscal Year 1996

On or before the first Monday in February ofeach year, the President is required tosubmit to the Congress a budget proposalfor the fiscal year that begins the followingOctober. The budget sets forth the Presi-dent’s proposed receipts, spending, anddeficit or surplus for the Federal Govern-ment. The plan includes recommendationsfor new legislation as well as recommenda-tions to change, eliminate, and add pro-grams. After receiving the President’sproposal, the Congress reviews it and makeschanges. It first passes a budget resolutionsetting its own targets for receipts, outlays,and deficit or surplus. Individual spendingand revenue bills are then enacted consis-tent with the goals of the budget resolution.

In fiscal year 1996 (which began on Octo-ber 1, 1995, and ended on September 30,1996), Federal income was $1,453 billion andoutlays were $1,560 billion, leaving a deficitof $107 billion.

Federal IncomeIncome and social insurance taxes are, byfar, the largest source of receipts. In 1996,individuals paid $656 billion in income taxesand corporations paid $172 billion. Socialsecurity and other insurance and retirementcontributions were $509 billion. Excise taxeswere $54 billion. The remaining $61 billion ofreceipts were from Federal Reserve depos-its, customs duties, estate and gift taxes,and other miscellaneous receipts.

Federal OutlaysAbout 93% of total outlays were financed bytax receipts and the remaining 7% were fi-nanced by borrowing. Government receiptsand borrowing finance a wide range of publicservices. The following is the breakdown oftotal outlays for fiscal year 1996*:

1. Social security, Medicare, and otherretirement: $597 billion. These programswere about 37% of total outlays. They pro-vide income support for the retired and dis-abled and medical care for the elderly.

2. National defense, veterans, and for-eign affairs: $316 billion. About 17% of totaloutlays were to equip, modernize, and payour armed forces and to fund other nationaldefense activities; about 2% went for veter-ans benefits and services; and about 1%went for international activities, includingmilitary and economic assistance to foreigncountries and the maintenance of U.S. em-bassies abroad.

3. Net interest: $241 billion. About 15%of total outlays were for net interest pay-ments on the public debt.

4. Physical, human, and community de-velopment: $127 billion. About 8% of totaloutlays were for agriculture; natural re-sources and environmental programs; trans-portation programs; aid for elementary andsecondary education and direct assistance

to college students; job training programs;deposit insurance, commerce and housingcredit, and community development; andspace, energy, and general science pro-grams.

5. Social programs: $287 billion. The Fed-eral Government spent 12% of total outlaysto fund Medicaid, food stamps, aid to fami-lies with dependent children, supplementalsecurity income, and related programs. 6%was spent for health research and publichealth programs, unemployment compensa-tion, assisted housing, and social services.

6. Law enforcement and general gov-ernment: $29 billion. About 2% of total out-lays were for judicial activities, Federal lawenforcement, and prisons; and to provide forthe general costs of the Federal Govern-ment, including the collection of taxes andlegislative activities.Note: Detail may not add to total due torounding.

* The percentages on this page exclude undistributed offsetting receipts, whichwere -$38 billion in fiscal year 1996. In the budget, these receipts are offsetagainst spending in figuring the outlay totals shown above. These receipts are

for the U.S. Government’s share of its employee retirement programs, rents androyalties on the Outer Continental Shelf, and proceeds from the spectrum auction.

Income

Outlays

Income and Outlays—These pie charts show the relative sizes of the majorcategories of Federal income and outlays for fiscal year 1996.

Personal incometaxes42%

Excise, customs,estate, gift, and

miscellaneous taxes7%

Corporateincome taxes

11%

Borrowing tocover deficit

7%

Social security, Medicare,and unemployment andother retirement taxes

33%

6. Law enforcementand generalgovernment

2%

1. Social security,Medicare, and other

retirement37%

2. Nationaldefense, veterans,and foreign affairs

20%

3. Net intereston the debt

15%

4. Physical,human, andcommunity

development8%

5. Socialprograms

18%

Index to Instructions

AAccelerated Death Benefits 6Address Change 14, 35Addresses of Internal Revenue Service Centers

Back coverAdoption Expenses—

Credit for 6, 25Employer-Provided Benefits for 6, 18

Advance Earned Income Credit Payments 25Alaska Permanent Fund Dividends 21Allocated Tip Income 18Alternative Minimum Tax 25Amended Return 35Amount You Owe 33–34Annuities 19–21

BBlindness 23

CChild and Dependent Care Expenses,

Credit for 24, 50–53Children of Divorced or Separated Parents,

Exemption for 17Common Mistakes, How To Avoid 7Community Property States 18Credit for the Elderly or the Disabled 25Customer Service Standards 5

DDeath of Spouse 8, 16Death of Taxpayer 8Debt, Gift To Reduce the Public 35Deduction for Contributions to an Individual

Retirement Arrangement (IRA) 21–23Dependent Care Benefits 18, 50–53Dependents—

Birth or Death of 16Children 16–18Other 16–18Standard Deduction for 24Student 16Supported by Two or More Taxpayers 17Who Can Be Claimed as 16–18

Direct Deposit of Refund 33Dividends 19, 49

Nominee 49Divorced or Separated Parents, Children of 17Dual-Status Alien 9, 14

EEarned Income Credit 6, 27–30Earned Income Credit Tables 31–32Elderly Persons—

Standard Deduction for 23, 24Credit for 25

Electronic Filing 5, 7Estimated Tax Payments 26, 35Excess Social Security and RRTA Taxes

Withheld 33Exemptions 16–18Extensions of Time To File 8, 33

FFiling Information 9–13

Filing Instructions—When To File 8Where To File Back cover

Filing Status—Which Box To Check 14–16Foreign Bank Account 13Form 1040A or 1040? 13Form W-2 18Forms W-2, 1098, and 1099, Where To Report

Certain Items From 12Forms, How To Get 4, 36

HHead of Household 15Help (free) 4, 35Help With Unresolved Tax Issues 36Household Employment Taxes 25

IIncome Tax Withheld (Federal) 26Individual Retirement Arrangement (IRA)—

Contributions to 21–23Distributions from 19

Injured Spouse Claim 33Installment Payments 34Interest Income—

Exclusion of Interest From Savings Bonds 49Nominee 49Taxable 18, 49Tax-Exempt 19, 49

Interest—Late Payment of Tax 8Itemized Deductions 11

LLine Instructions for Form 1040A 13–34Lump-Sum Distributions 21

MMarried Persons—

Filing Joint Returns 14Filing Separate Returns 15Living Apart 15

Medical Savings Account (MSA) 6

NName, Address, and Social Security Number 14Name Change 7, 14Nonresident Alien 9, 14

OOrder Blank 37

PPayments, Amount You Owe 33Penalty—

Estimated Tax 34Late Filing 8Late Payment 8Other 8

Pensions and Annuities 19–21Preparer, Tax Return 34Presidential Election—$3 Check-Off 14

Privacy and Paperwork Reduction Act Notice 42Private Delivery Services 8–9Problem Resolution Program 36Public Debt, Gift To Reduce the 35Publications, How To Get 4

RRailroad Retirement Benefits—

Treated as a Pension 19Treated as Social Security 21

Recordkeeping 35Refund of Tax 33Refunds of State and Local Income Taxes 18Rights of Taxpayers 35Rollovers 19, 21Rounding Off to Whole Dollars 18

SSalaries 18Schedules, Instructions for—

Schedule 1 49Schedule 2 50–53

Scholarship and Fellowship Grants 18Sign Your Return 34Single Person 14Social Security Benefits 21, 22Social Security Number 6, 7, 14, 17Standard Deduction 24State and Local Income Taxes, Refunds of 18Student Dependent 16

TTax Assistance 4, 35Tax-Exempt Interest 19, 49Tax Figured by the IRS 24Tax Table 43–48Telephone Assistance—

Federal Tax Information 4, 39TeleTax 4, 40–41Tip Income 18

UUnemployment Compensation 21

WWages 18When To File 8Where To File Back coverWho Can Use Form 1040A 13Who Must File 9–13Who Must Use Form 1040 13Who Should File 9–13Widows and Widowers, Qualifying 16Withholding and Estimated Tax Payments

for 1998 35

What’s new for 1997 (page 6)

Problem Resolution Program (page 36)

How to avoid common mistakes (page 7)

How to get forms and publications (page 4)

What’s inside?

Tax table (page 43)

Free tax help (pages 4 and 35)

How to make a gift to reduce the public debt (page 35)

When to file (page 8)

Where Do You File?If an envelope addressed to “InternalRevenue Service Center” came with yourtax booklet, please use it. If you do nothave one, or if you moved during the year,mail your return to the Internal RevenueService Center for the place where youlive. No street address is needed.

Alabama—Memphis, TN 37501-0015Alaska—Ogden, UT 84201-0015Arizona—Ogden, UT 84201-0015Arkansas—Memphis, TN 37501-0015California—Counties of Alpine, Amador,

Butte, Calaveras, Colusa, Contra Costa,Del Norte, El Dorado, Glenn, Humboldt,Lake, Lassen, Marin, Mendocino, Modoc,Napa, Nevada, Placer, Plumas,Sacramento, San Joaquin, Shasta,Sierra, Siskiyou, Solano, Sonoma, Sutter,Tehama, Trinity, Yolo, and Yuba—Ogden, UT 84201-0015

All other counties—Fresno, CA 93888-0015Colorado—Ogden, UT 84201-0015Connecticut—Andover, MA 05501-0015Delaware—Philadelphia, PA 19255-0015District of Columbia—

Philadelphia, PA 19255-0015Florida—Atlanta, GA 39901-0015

Georgia—Atlanta, GA 39901-0015Hawaii—Fresno, CA 93888-0015Idaho—Ogden, UT 84201-0015Illinois—Kansas City, MO 64999-0015Indiana—Cincinnati, OH 45999-0015Iowa—Kansas City, MO 64999-0015Kansas—Austin, TX 73301-0015Kentucky—Cincinnati, OH 45999-0015Louisiana—Memphis, TN 37501-0015Maine—Andover, MA 05501-0015Maryland—Philadelphia, PA 19255-0015Massachusetts—Andover, MA

05501-0015Michigan—Cincinnati, OH 45999-0015Minnesota—Kansas City, MO 64999-0015Mississippi—Memphis, TN 37501-0015Missouri—Kansas City, MO 64999-0015Montana—Ogden, UT 84201-0015Nebraska—Ogden, UT 84201-0015Nevada—Ogden, UT 84201-0015New Hampshire—Andover, MA

05501-0015New Jersey—Holtsville, NY 00501-0015New Mexico—Austin, TX 73301-0015New York—New York City and counties of

Nassau, Rockland, Suffolk, andWestchester—Holtsville, NY 00501-0015

All other counties—Andover, MA05501-0015

North Carolina—Memphis, TN37501-0015

North Dakota—Ogden, UT 84201-0015Ohio—Cincinnati, OH 45999-0015Oklahoma—Austin, TX 73301-0015Oregon—Ogden, UT 84201-0015Pennsylvania—Philadelphia, PA

19255-0015Rhode Island—Andover, MA 05501-0015

South Carolina—Atlanta, GA 39901-0015South Dakota—Ogden, UT 84201-0015Tennessee—Memphis, TN 37501-0015Texas—Austin, TX 73301-0015Utah—Ogden, UT 84201-0015Vermont—Andover, MA 05501-0015Virginia—Philadelphia, PA 19255-0015Washington—Ogden, UT 84201-0015West Virginia—Cincinnati, OH 45999-0015Wisconsin—Kansas City, MO 64999-0015Wyoming—Ogden, UT 84201-0015American Samoa—Philadelphia, PA

19255-0215Guam: Permanent residents—

Department of Revenue and TaxationGovernment of GuamP.O. Box 23607GMF, GU 96921

Guam: Nonpermanent residents—Philadelphia, PA 19255-0215

Puerto Rico (or if excluding income underInternal Revenue Codesection 933)—Philadelphia, PA 19255-0215

Virgin Islands: Nonpermanent residents—Philadelphia, PA 19255-0215

Virgin Islands: Permanent residents—V.I. Bureau of Internal Revenue9601 Estate ThomasCharlotte AmalieSt. Thomas, VI 00802

Foreign country: U.S. citizens and thosefiling Form 2555, Form 2555-EZ, or Form4563—Philadelphia, PA 19255-0215

All APO and FPO addresses—Philadelphia, PA 19255-0215

Envelopes without enoughpostage will be returned to you bythe post office. If your envelopecontains more than five pages oris oversized, it may needadditional postage. Also, includeyour complete return address.

Instructions for Form 1040A and Schedules 1 and 2